HomeMy WebLinkAboutOrdinance 23176-04-2018 ORDINANCE NO. 23176-04-2018
AMENDED AND RESTATED THIRTY-SECOND SUPPLEMENTAL ORDINANCE
AUTHORIZING THE ISSUANCE AND SALE OF CITY OF FORT WORTH, TEXAS WATER AND
SEWER SYSTEM REVENUE REFUNDING BONDS, IN ONE OR MORE SERIES, IN AN
AGGREGATE PRINCIPAL AMOUNT NOT TO EXCEED $150,000,000; ESTABLISHING
PARAMETERS WITH RESPECT TO THE SALE OF BONDS; DELEGATING TO THE
DESIGNATED CITY OFFICIALS THE AUTHORITY TO EFFECT THE SALE OF BONDS;
ENACTING OTHER PROVISIONS RELATING TO THE SUBJECT;
AND DECLARING AN IMMEDIATE EFFECTIVE DATE
THE STATE OF TEXAS
COUNTIES OF TARRANT, DENTON, WISE, PARKER AND JOHNSON
CITY OF FORT WORTH
WHEREAS, the City of Fort Worth, Texas (the "City" or the "Issuer"), a "home-rule" city
operating under a home-rule charter adopted pursuant to Section 5 of Article XI of the Texas
Constitution, with a population according to the latest federal decennial census of in excess of 50,000,
has established and currently owns and operates a combined waterworks and sanitary sewer system (the
"System"); and
WHEREAS, the City heretofore has established the City of Fort Worth, Texas Water and Sewer
System Revenue Financing Program for the purpose of providing a financing structure for revenue
supported indebtedness of the System; and
WHEREAS, said Program was established pursuant to the terms of a "Master Ordinance
Establishing the City of Fort Worth, Texas Water and Sewer System Revenue Financing Program" (the
"Master Ordinance"); and
WHEREAS, unless otherwise defined herein, terms used herein shall have the meaning given in
the Master Ordinance; and
WHEREAS, the Master Ordinance authorizes revenue supported indebtedness to be issued,
incurred or assumed pursuant to the terms of supplemental ordinances (any such ordinance being a
"Supplement"); and
WHEREAS, pursuant to the terms of the Master Ordinance, the City has adopted thirty-two
Supplements (designated as the "First Supplement", "Second Supplement", "Third Supplement", "Fourth
Supplement", "Fifth Supplement", "Sixth Supplement", "Seventh Supplement", "Eighth Supplement",
"Ninth Supplement", "Tenth Supplement", "Eleventh Supplement", "Twelfth Supplement", "Thirteenth
Supplement", "Fourteenth Supplement", "Fifteenth Supplement", "Sixteenth Supplement", "Seventeenth
Supplement", "Eighteenth Supplement", "Nineteenth Supplement", "Twentieth Supplement", "Twenty-
First Supplement", "Twenty-Second Supplement", "Twenty-Third Supplement", "Twenty-Fourth
Supplement", "Twenty-Fifth Supplement", "Twenty-Sixth Supplement", "Twenty-Seventh Supplement",
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"Twenty-Eighth Supplement", "Twenty-Ninth Supplement", "Thirtieth Supplement", "Thirty-First
Supplement" and, "Thirty-Second Supplement", respectively, and the "Prior Supplements", collectively)
pursuant to which (i) the City of Fort Worth, Texas Water and Sewer System Revenue Refunding
Bonds, Series 1991A and Series 199113, the City of Fort Worth, Texas Water and Sewer System
Revenue Refunding Bonds, Series 1993, the City of Fort Worth, Texas Water and Sewer System
Revenue Refunding and Improvement Bonds, Series 1996, the City of Fort Worth, Texas Water and
Sewer System Revenue Refunding and Improvement Bonds, Series 1997, the City of Fort Worth, Texas
Water and Sewer System Revenue Refunding and Improvement Bonds, Series 1998, the City of Fort
Worth, Texas Water and Sewer System Revenue Bonds, Series 2000, the City of Fort Worth, Texas
Water and Sewer System Revenue Refunding and Improvement Bonds, Series 2000B, the City of Fort
Worth, Texas Water and Sewer System Revenue Bonds, Series 2001, the City of Fort Worth, Texas
Water and Sewer System Revenue Refunding and Improvement Bonds, Series 2003, the City of Fort
Worth, Texas Water and Sewer System Revenue Refunding Bonds, Series 2003A, the City of Fort
Worth, Texas Water and Sewer System Auction Rate Revenue Bonds, Series 2004, the City of Fort
Worth, Texas Water and Sewer System Revenue Refunding and Improvement Bonds, Series 2005, the
City of Fort Worth, Texas Water and Sewer System Revenue Refunding Bonds, Series 2005A, the City
of Fort Worth, Texas Water and Sewer System Revenue Bonds, Series 2007, the City of Fort Worth,
Texas Water and Sewer System Revenue Refunding Bonds, Series 2008, the City of Fort Worth, Texas
Water and Sewer System Revenue Bonds, Series 2009, the City of Fort Worth, Texas Water and Sewer
System Revenue Refunding Bonds, Series 2010, the City of Fort Worth, Texas Water and Sewer System
Revenue Bonds, Series 2010A, the City of Fort Worth, Texas Water and Sewer System Revenue Bonds,
Series 2010B, the City of Fort Worth, Texas Water and Sewer System Revenue Bonds, Series 2010C,
the City of Fort Worth, Texas Water and Sewer System Revenue Refunding and Improvement Bonds,
Series 2011, the City of Fort Worth, Texas Water and Sewer System Revenue Refunding Bonds, Series
2012, the City of Fort Worth, Texas Water and Sewer System Revenue Refunding and Improvement
Bonds, Series 2014, the City of Fort Worth, Texas Water and Sewer System Revenue Bonds, Series
2015, the City of Fort Worth, Texas Water and Sewer System Revenue Refunding and Improvement
Bonds, Series 2015A, the City of Fort Worth, Texas Water and Sewer System Revenue Bonds, Series
2015B, the City of Fort Worth, Texas Water and Sewer System Revenue Refunding and Improvement
Bonds, Series 2016, the City of Fort Worth, Texas Water and Sewer System Revenue Bonds, Series
2017, the City of Fort Worth, Texas Water and Sewer System Revenue Refunding and Improvement
Bonds, Series 2017A and the City of Fort Worth, Texas Water and Sewer System Revenue Bonds,
Series 2017B were issued, (ii) the City of Fort Worth, Texas Water and Sewer System Revenue
Refunding Bonds, with one or more Series designations to be determined, were authorized to be issued
within certain designated parameters as needed in furtherance of the System's Commercial Paper Notes,
Callable CP Series program, and (iii) the City entered into two respective ISDA Master Agreements
(referred to herein as the "Swap Agreements"), one with Lehman Brothers Special Financing Inc., and
the other with GBDP, L.P.; and
WHEREAS, the aforesaid Series 1991A Bonds, Series 1991B Bonds, Series 1993 Bonds, Series
1996 Bonds, Series 1997 Bonds, Series 1998 Bonds, Series 2000 Bonds, Series 2000B Bonds, Series
2001 Bonds, Series 2003 Bonds, Series 2003A Bonds, Series 2004 Bonds, Series 2005 Bonds, Series
2005A Bonds, Series 2007 Bonds and Series 2008 Bonds are no longer Outstanding, and the aforesaid
Series 2009 Bonds, Series 2010 Bonds, Series 2010A Bonds, Series 2010B Bonds, Series 2010C Bonds,
Series 2011 Bonds, Series 2012 Bonds, Series 2014 Bonds, Series 2015 Bonds, Series 2015A Bonds,
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Series 2015B Bonds, Series 2016 Bonds, Series 2017 Bonds, Series 2017A Bonds and Series 2017B
Bonds are hereinafter referred to as the "Previously Issued Parity Bonds"; and
WHEREAS, the Swap Agreements entered into pursuant to the terms of the Fourth Supplement
by their respective terms have expired, and the City has no further obligations thereunder; and
WHEREAS, no bonds have been issued under the auspices of the Thirty-Second Supplement;
and
WHEREAS, the Previously Issued Parity Bonds are secured by a first lien on and pledge of the
Pledged Revenues of the System; and
WHEREAS, the City Council has adopted Ordinance 23028-12-2017, authorizing the issuance
of its City of Fort Worth, Texas Water and Sewer System Commercial Paper Notes, Callable CP Series,
to be outstanding at any one time and from time to time in an aggregate principal amount not to exceed
$150,000,000 (the "Commercial Paper Notes"); and
WHEREAS, the bonds authorized to be issued by the Thirty-Second Supplement (the "Bonds")
are to be issued, and delivered under authority of applicable provisions of Chapter 1207, Texas
Government Code; and
WHEREAS, the City Council finds that the issuance of the Bonds, in one or more series, for the
purpose of refunding all or a portion of the outstanding Commercial Paper Notes is in the best interests
of the City, as the City intends for the Commercial Paper Notes to provide interim financing for eligible
projects; and
WHEREAS, the City Council desires to adopt this amended and restated Thirty-Second
Supplemental Ordinance to the Master Ordinance (which, for all purposes, shall be treated as the Thirty-
Second Supplement as defined herein, and in other ordinances of the City in which the Thirty-Second
Supplement is referenced) for the purpose of extending the authority described below delegated to the
City Manager and the Chief Financial Officer/Director of Financial Management Services of the City,
and to address changes in law since the adoption of Ordinance 23029-12-2017; and
WHEREAS, the City Council delegates to the City Manager and the Chief Financial
Officer/Director of Financial Management Services of the City, individually, but not collectively (each,
an "Authorized Representative") the authority to effect the sale of Bonds, subject to the parameters
described in this Thirty-Second Supplement.
NOW, THEREFORE, BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY OF FORT
WORTH, TEXAS:
Section 1. DEFINITIONS. That in addition to the definitions set forth in the preamble of this
Thirty-Second Supplement, the terms used in this Thirty-Second Supplement (except in the FORM OF
BOND) and not otherwise defined shall have the meanings given in the Master Ordinance, the Prior
Supplements or in Exhibit A to this Thirty-Second Supplement. Any references in this Thirty-Second
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Supplement to the "FORM OF BOND" shall be to the form of the Bonds as set forth in Exhibit B to this
Thirty-Second Supplement.
Section 2. BONDS AUTHORIZED. (a) Bonds. That there shall be authorized to be issued,
sold, and delivered hereunder the Bonds, in one or more series, payable to the respective initial
registered owners thereof, or to the registered assignee or assignees of the Bonds or any portion or
portions thereof, in an Authorized Denomination. The Bonds are hereby authorized to be issued, in one
or more series, in an aggregate principal amount not to exceed $150,000,000, for the purpose of (i)
refunding outstanding Commercial Paper Notes and (ii) paying the costs of issuance of the Bonds. The
Bonds shall be designated as the "City of Fort Worth, Texas Water and Sewer System Revenue
Refunding Bonds", with such additional or different designation or title as permitted by Section 3(b) of
this Thirty-Second Supplement. The Bonds are authorized pursuant to Chapter 1207 and other
applicable laws of the State of Texas. The City Council hereby finds that it is in the best interests of the
City for the Bonds to be sold in such manner as determined by an Authorized Representative in manner
provided in this Thirty-Second Supplement. By adoption of this Thirty-Second Supplement, the Chief
Financial Officer/Director of Financial Management Services of the City, as an Authorized
Representative, is designated as a special Acting Assistant City Manager for the limited purposes of
executing certificates, agreements, notices, instruction letters, requisitions, and other documents on
behalf of the City in accordance with this Thirty-Second Supplement.
(b) Refundinu. That the City hereby finds that the issuance of Bonds for the purpose of
refunding Commercial Paper Notes is a public purpose. The Refunded Commercial Paper Notes are
being refunded to convert interim financing into long-term fixed rate financing, as contemplated by the
City in the operation of the interim financing program for the System, and the manner in which the
refunding of the Refunded Commercial Paper Notes is being executed by the City makes it
impracticable to make the determinations required by subsection (a) of Section 1207.008, Texas
Government Code. The Refunded Commercial Paper Notes shall be those outstanding Commercial
Paper Notes to be refunded and retired with a portion of the proceeds of the Bonds, in an aggregate
principal amount not to exceed $150,000,000 in principal amount, as designated in a letter of
instructions delivered by the Chief Financial Officer/Director of Financial Management Services of the
City. For the sole purpose of establishing for the benefit of the Public.Finance Division of the Office of
the Attorney General of Texas that the City possesses sufficient Pledged Revenues to pay the
Commercial Paper Notes and the interest thereon, the City shall establish sufficiency through the
issuance of bonds on a parity with the Bonds under authority of Chapter 1207 at then current market
interest rates with level debt service over a forty (40) year period to refinance such Commercial Paper
Notes, under authority of Section 1371.057(c), Texas Government Code.
Section 3. DELEGATION OF SALE OF BONDS; PARAMETERS. (a) Terms of Bonds. That
initially there shall be issued, sold, and delivered hereunder fully registered bonds, without interest
coupons, in one or more series, payable to the respective initial registered owners thereof, or to the
registered assignee or assignees of said bonds or any portion or portions thereof (in each case, the
"Registered Owner"), in the denomination of $5,000 or any integral multiple thereof (an "Authorized
Denomination"), maturing not later than February 15, 2049, serially or otherwise on the dates, in the
years and in the principal amounts, respectively, and dated, all as shall be determined and established in
accordance with this Thirty-Second Supplement. The City Council hereby affirmatively waives the
provision in its "Financial Management Policy Statements — Chapter V - Debt" specifying that the
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average life of revenue bonds issued by the City will be no greater than approximately twelve years.
The City Council finds that permitting the Bonds to have a maturity of not later than February 15, 2049,
is consistent with the useful lives of the facilities authorized to be refinanced with the proceeds of Bonds
and the revenue-generating capability of such facilities.
(b) Sale of Bonds. (i) Method of Sale. As authorized by Section 1207.007, Texas Government
Code, each Authorized Representative is hereby authorized to effect the sale of all or any of the Bonds
authorized to be sold by this Thirty-Second Supplement, whether by competitive sale or by negotiated
sale conducted either through a public underwriting of the Bonds, a private placement of the Bonds, or
both. The determination of each Authorized Representative, acting for and on behalf of the City,
relating to the method of and the terms and conditions relating to the sale of Bonds pursuant to this
Thirty-Second Supplement shall have the same force and effect as if such determination were made by
the City. In effecting the sale of the Bonds authorized to be sold by this Thirty-Second Supplement,
each Authorized Representative, acting for and on behalf of the City, may determine any additional or
different designation or title by which any series of Bonds shall be known. Prior to the delivery of any
Bonds authorized to be sold by this Thirty-Second Supplement, whether by competitive sale or
negotiated sale, an Authorized Representative shall execute a certificate addressing the matters
described in this subsection with respect to the Bonds sold under authority granted by this Thirty-Second
Supplement.
(ii) Competitive Sale. Each Authorized Representative, acting for and on behalf of the City, is
hereby authorized to seek competitive bids for the sale of a series of Bonds authorized to be sold by this
Thirty-Second Supplement. Each Authorized Representative is hereby authorized to prepare and
distribute the Bidding Instructions and the Official Bid Form with respect to seeking competitive bids
for the sale of such Bonds. The Bidding Instructions shall contain the terms and conditions relating to
the sale of such Bonds, including the date bids for the purchase of such Bonds are to be received, the
date of such Bonds, any additional designation or title by which such Bonds shall be known, the
aggregate principal amount of such Bonds to be sold, the price at which such Bonds will be sold,the
years in which such Bonds will mature, the principal amount to mature in each of such years, the rate or
rates of interest to be borne by each such maturity, the interest payment periods, the dates, price, and
terms upon and at which such Bonds shall be subject to redemption prior to maturity at the option of the
City, as well as any mandatory sinking fund redemption provisions, and all other matters relating to the
issuance, sale and delivery of such Bonds so sold including, without limitation, the use of municipal
bond insurance for the Bonds. Each Authorized Representative, acting for and on behalf of the City, is
hereby authorized to receive and accept bids for the sale of Bonds of a series in accordance with the
Bidding Instructions on such date as determined thereby. Any series of Bonds so sold shall be sold at
such price as the Authorized Representative shall determine to be the most advantageous to the City,
which determination shall be evidenced by the execution thereby of the Official Bid Form submitted by
the best and winning bidder applicable to such series of Bonds. The sale of the Bonds, including
specifically the terms of the purchase price of the Bonds, shall be subject to the provisions in subsection
(e) of this Section. One Bond in the principal amount maturing on each maturity date as set forth in the
Official Bid Form shall be delivered to the initial purchasers thereof, and such purchasers shall have the
right to exchange such bonds as provided in Section 5 hereof without cost. The Bonds shall initially be
registered in the name as set forth in the Official Bid Form. In case any officer whose signature shall
appear on the Bonds shall cease to be such officer before the delivery of the Bonds, such signature shall
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nevertheless be valid and sufficient for all purposes the same as if such officer had remained in office
until such delivery.
(iii) Negotiated Sale - Underwriting. Each Authorized Representative, acting for and on behalf
of the City, is hereby authorized to sell all or any portion of the Bonds authorized to be sold by this
Thirty-Second Supplement by a negotiated sale conducted as a public underwriting, and should an
Authorized Representative determine to sell Bonds by negotiated sale conducted as a public
underwriting, the Authorized Representative may designate the senior managing underwriter for the
Bonds so sold by a negotiated sale pursuant to this Section 3(b)(iii), and such additional investment
banking firms as he deems appropriate to assure that Bonds are sold on the most advantageous terms to
the City. Should Bonds be sold through a negotiated sale conducted as a public underwriting, each
Authorized Representative, acting for and on behalf of the City, is authorized to enter into and carry out
a Bond Purchase Agreement with the Underwriters for such Bonds, at such price, with and subject to
such terms as determined by the Authorized Representative, subject to the provisions of this Thirty-
Second Supplement. One Bond in the principal amount maturing on each maturity date as set forth in
the Bond Purchase Agreement shall be delivered to the Underwriters, and the Underwriters shall have
the right to exchange such Bonds as provided in Section 5 hereof without cost. The Bonds shall initially
be registered in the name designated by the Underwriters as set forth in a Bond Purchase Agreement. In
case any officer whose signature shall appear on the Bonds shall cease to be such officer before the
delivery of the Bonds, such signature shall nevertheless be valid and sufficient for all purposes the same
as if such officer had remained in office until such delivery. The Bond Purchase Agreement shall be
substantially in the form and substance previously approved by the City in connection with the
authorization of Previously Issued Parity Bonds, as shall be acceptable to the Authorized Representative,
including, without limitation, to contain such terms and conditions as may be provided in accordance
with subsection(d) of this Section.
(iv) Negotiated Sale — Private Placement. Each Authorized Representative, acting for and on
behalf of the City, is hereby authorized to sell all or any portion of the Bonds authorized to be sold by
this Thirty-Second Supplement by a negotiated sale conducted as a private placement, and should an
Authorized Representative determine to sell Bonds by negotiated sale conducted as a private placement,
the Authorized Representative may negotiate the sale of Bonds pursuant to this Section 3(b)(iv) with a
bank or other financial institutions as he deems appropriate to assure that the Bonds are sold on the most
advantageous terms to the City. Should Bonds be sold through a negotiated sale conducted as a private
placement, each Authorized Representative, acting for and on behalf of the City, is authorized to enter
into and carry out a Bond Purchase Agreement with the Purchaser of such Bonds, at such price,with and
subject to such terms as determined by an Authorized Representative; subject to the provisions of this
Thirty-Second Supplement. One Bond in the principal amount maturing on each maturity date as set
forth in the Bond Purchase Agreement shall be delivered to the Purchaser, and the Purchaser shall have
the right to exchange such Bonds as provided in Section 5 hereof without cost. The Bonds shall initially
be registered in the name designated by the Purchaser as set forth in a Bond Purchase Agreement. In
case any officer whose signature shall appear on the Bonds shall cease to be such officer before the
delivery of the Bonds, such signature shall nevertheless be valid and sufficient for all purposes the same
as if such officer had remained in office until such delivery. The Bond Purchase Agreement shall be
substantially in the form and substance previously approved by the City in connection with the
authorization of Previously Issued Parity Bonds, as shall be acceptable to the Authorized Representative,
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including, without limitation, to contain such terms and conditions as may be provided in accordance
with subsection(d) of this Section.
(c) In General. The Bonds (i) may and shall be redeemed prior to the respective scheduled
maturity dates, (ii) may be assigned and transferred, (iii) may be exchanged for other Bonds, (iv) shall
have the characteristics, and (v) shall be signed and sealed, and (vi) the principal of and interest on the
Bonds shall be payable, all as provided, and in the manner required or indicated, in the FORM OF
BOND, as revised to conform the Bonds to the terms of the Bond Purchase Agreement, in the case of a
negotiated sale, or the Bidding Instructions and Official Bid Form,in the case of a competitive sale. The
Bonds of any series shall be numbered consecutively from R-1 upward.
(d) Bond Purchase Agreement. Should Bonds be sold by a negotiated sale, each Authorized
Representative is hereby authorized, appointed, and designated to act on behalf of the City in the selling
and delivering the Bonds and carrying out the other procedures specified in this Thirty-Second
Supplement, including determining and fixing the date of the Bonds, any additional or different
designation or title by which the Bonds shall be known, the aggregate principal amount of the Bonds to
be sold, the price at which the Bonds will be sold, the years in which the Bonds will mature, the
principal amount to mature in each of such years, the rate or rates of interest to be borne by each such
maturity, the interest payment periods, the dates, price, and terms upon and at which the Bonds shall be
subject to redemption prior to maturity at the option of the Issuer, as well as any mandatory sinking fund
redemption provisions, and all other matters relating to the issuance, sale, and delivery of the Bonds,
including, without limitation, the use of municipal bond insurance for the Bonds, all of which shall be
specified in the Bond Purchase Agreement. Each Authorized Representative, acting for and on behalf
of the City, is authorized to enter into with the Underwriters, in the case of a negotiated sale conducted
as a public underwriting, or the Purchaser, in the case of a negotiated sale conducted as a private
placement, and carry out the conditions specified in a Bond Purchase Agreement for the Bonds, at such
price and subject to such terms as are set forth therein. The sale of the Bonds, including specifically the
terms of the purchase price of the Bonds, shall be subject to the provisions in subsection (e) of this
Section.
(e) Parameters to Sale of Bonds. The foregoing provisions of this Section notwithstanding, the
purchase price to be paid for Bonds sold pursuant to this Thirty-Second Supplement shall not be less
than 95% of the aggregate principal amount thereof, and such Bonds shall not bear a "net effective
interest rate" (as defined in and calculated in accordance with the provisions of Chapter 1204, Texas
Government Code) of greater than 10%. The authority hereby granted by the City to each Authorized
Representative to effect the sale of all or any portion of the Bonds authorized to be sold by this Thirty-
Second Supplement expires at 5:00 p.m., Friday, May 31,2019.
Section 4. REDEMPTION. (a) Optional Redemption. That.the Bonds of any series may be
subject to redemption prior to their scheduled maturities at the option of the City, on the dates and in the
manner provided in the applicable Bidding Instructions, in the case of Bonds sold through a competitive
sale, or the 'applicable Bond Purchase Agreement, in the case of Bonds sold through a negotiated sale
conducted either as a public underwriting or a private placement. Should such Bonds be subject to
redemption prior to their scheduled maturities, if less than all of such Bonds are to be redeemed by the
City, the City shall determine the maturity or maturities and the amounts to be redeemed and shall direct
the Paying Agent/Registrar to call by lot Bonds, or portions of Bonds, within a maturity and in the
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principal amounts for redemption; provided,that during any period in which ownership of such Bonds is
determined only by a book entry at a securities depository for such Bonds, if fewer than all of such
Bonds of the same maturity and bearing the same interest rate are to be redeemed, the particular Bonds
shall be selected in accordance with the arrangements between the City and the securities depository.
The FORM OF BOND shall be revised to reflect any optional redemption of such series of Bonds, to the
extent provided in the applicable Bidding Instructions and incorporated by reference into the applicable
Official Bid Form accepted by an Authorized Representative as the best bid on such Bonds, in the case
of Bonds sold through a competitive sale, or the applicable Bond Purchase Agreement, in the case of
Bonds sold through a negotiated sale conducted either as a public underwriting or a private placement.
The optional redemption of Bonds at the option of the City may be made conditional upon the
occurrence of certain events, as may be provided for in the FORM OF BOND.
(b) Mandatory Redem to ion. Should the Official Bid Form, in the case of Bonds sold through a
competitive sale, or the Bond Purchase Agreement, in the case of Bonds sold through a negotiated sale
conducted either as a public underwriting or a private placement,provide for the mandatory sinking fund
redemption of the Bonds of any series, the terms and conditions governing any mandatory sinking fund
redemption and the payment of mandatory sinking fund payments shall be set forth therein, and the
FORM OF BOND shall be revised to reflect any mandatory sinking fund redemption of such Bonds, to
the extent provided in the Official Bid Form accepted by an Authorized Representative as the best bid
for such Bonds, in the case of Bonds sold through a competitive sale, or the applicable Bond Purchase
Agreement, in the case of Bonds sold through a negotiated sale conducted either as a public
underwriting or a private placement.
(c) General Notice. Notice of any redemption of Bonds shall be given by directing the Paying
Agent/Registrar to provide written notice of such redemption be given to the registered owner of each
Bond or a portion thereof being called for redemption at least thirty (30) days prior to the date fixed for
such redemption by depositing such notice in the United States mail, first-class postage prepaid,
addressed to each such registered owner at the address shown on the Registration Books of the Paying
Agent/Registrar. By the date fixed for any such redemption due provision shall be made by the City
with the Paying Agent/Registrar for the payment of the required redemption price for the Bonds or the
portions thereof which are to be so redeemed. If such notice of redemption is given, and if due
provision for such payment is made, all as provided above, the Bonds, or the portions thereof which are
to be so redeemed, thereby automatically shall be redeemed prior to their scheduled maturities, and shall
not be regarded as being outstanding except-for the right of the owner to receive the redemption price
from the Paying Agent/Registrar out of the funds provided for such payment. The Paying
Agent/Registrar shall record in the Registration Books all such redemptions of principal of the Bonds or
any portion thereof. If a portion of any Bond shall be redeemed, a substitute Bond or Bonds having the
same maturity date, bearing interest at the same rate, in any Authorized Denomination at the written
request of the owner, and in an aggregate principal amount equal to the unredeemed portion thereof, will
be issued to the owner upon the surrender thereof for cancellation, at the expense of the City, all as
provided in this Thirty-Second Supplement. The maturities of Bonds to be called for redemption shall
be determined by the City. The Bonds or portions to be redeemed within each such maturity shall be
selected by lot or other customary random method selected by the Paying Agent/Registrar in accordance
with any requirements of a securities depository, if applicable (provided that a portion of a Bond may be
redeemed only in an Authorized Denomination). The City shall give written notice to the Paying
Agent/Registrar of any such redemption of Bonds at least sixty (60) calendar days (or such shorter
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period as is acceptable to the Paying Agent/Registrar) prior to such redemption. Should an optional
redemption of Bonds be made conditional as permitted in subsection (a) of this Section, the Paying
Agent/Registrar shall give notice of the cancellation of such optional redemption in the manner provided
in the Bonds of a series where a conditional redemption right has been reserved to the City.
(d) Additional Notice. (i) In addition to the manner of providing notice of redemption of Bonds
as set forth above, the Paying Agent/Registrar shall give notice of redemption of Bonds by United States
mail, first-class postage prepaid, at least thirty (30) days prior to a redemption date to the MSRB and to
any national information service that disseminates redemption notices. Any notice sent to the MSRB or
such national information services shall be sent so that they are received at least two (2) days prior to the
general mailing or publication date of such notice. The Paying Agent/Registrar shall also send a notice
of prepayment or redemption to the owner of any Bond who has not sent the Bonds in for redemption
sixty(60) days after the redemption date.
(ii) Each redemption notice, whether required in the FORM OF BOND or otherwise by this
Thirty-Second Supplement, shall contain a description of the Bonds to be redeemed including the
complete name of the Bonds, the series, the date of issue, the interest rate, the maturity date, the CUSIP
number, if any, the amounts called for redemption, the publication and mailing date for the notice, the
date of redemption, the redemption price, the name of the Paying Agent/Registrar and the address at
which the Bond may be redeemed including a contact person and telephone number.
(iii) All redemption payments made by the Paying Agent/Registrar to the registered owners of
the Bonds shall include a CUSIP number relating to each amount paid to such registered owner.
Section 5. CHARACTERISTICS OF THE BONDS. (a) Registration, Transfer, Conversion and
Exchange; Authentication. That the City shall keep or cause to be kept at the designated corporate trust
office of BOKF,NA (the "Paying Agent/Registrar"), books or records for the registration of the transfer,
conversion and exchange of the Bonds (the "Registration Books"), and the City hereby appoints the
Paying Agent/Registrar as its registrar and transfer agent to keep such books or records and make such
registrations of transfers, conversions and exchanges under such reasonable regulations as the City and
the Paying Agent/Registrar may prescribe; and the Paying Agent/Registrar shall make such registrations,
transfers, conversions and exchanges as herein provided. The Paying Agent/Registrar shall obtain and
record in the Registration Books the address of the owner of each Bond to which payments with respect
to the Bonds shall be mailed, as herein provided; but it shall be the duty of each owner to notify the
Paying Agent/Registrar in writing of the address to which payments shall be mailed, and such interest
payments shall not be mailed unless such notice has been given. The City shall have the right to inspect,
at the Designated Trust Office of the Paying Agent/Registrar, the Registration Books during regular
business hours of the Paying Agent/Registrar, but otherwise the Paying Agent/Registrar shall keep the
Registration Books confidential and, unless otherwise required by law, shall not permit their inspection
by any other entity. Except as otherwise provided in the FORM OF BOND, the owner of each Bond
requesting a conversion, transfer, exchange and delivery of such Bond shall pay the Paying
Agent/Registrar's standard or customary fees and charges for making such registration, transfer,
conversion, exchange and delivery of a substitute Bond or Bonds. Registration of assignments,
transfers, conversions and exchanges of Bonds shall be made in the manner provided and with the effect
stated in the FORM OF BOND. Each substitute Bond shall bear a letter and/or number to distinguish it
from each other Bond. An authorized representative of the Paying Agent/Registrar shall, before the
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delivery of any such Bond, date and manually sign the "Paying Agent/Registrar's Authentication
Certificate" in the form set forth in the FORM OF BOND (the "Authentication Certificate"), and, except
as provided below, no such Bond shall be deemed to be issued or Outstanding unless the Authentication
Certificate is so executed; however, the foregoing notwithstanding, the Authentication Certificate need
not be executed if any such Bond is accompanied by an executed "Comptroller's Registration
Certificate" in the form set forth in the FORM OF BOND. The Paying Agent/Registrar promptly shall
cancel all paid Bonds and Bonds surrendered for conversion and exchange. No additional ordinances,
orders, or resolutions need be passed or adopted by the governing body of the City or any other body or
person so as to accomplish the foregoing conversion and exchange of any Bond or portion thereof, and
the Paying Agent/Registrar shall provide for the printing, execution, and delivery of the substitute Bonds
in the manner prescribed herein. Pursuant to Chapter 1206, the duty of conversion and exchange of
Bonds as aforesaid is hereby imposed upon the Paying Agent/Registrar, and, upon the execution of the
Authentication Certificate, the converted and exchanged Bond shall be valid, incontestable, and
enforceable in the same manner and with the same effect as the Bonds which initially were issued and
delivered pursuant to this Thirty-Second Supplement, approved by the Attorney General, and registered
by the Comptroller. As of the date this Thirty-Second Supplement is approved by the City, the
Designated Trust Office of the Paying Agent/Registrar is its Dallas,Texas corporate trust office.
(b) Payment of Bonds and Interest. The City hereby further appoints the Paying Agent/Registrar
to act as the paying agent for paying the principal of, premium, if any, and interest on the Bonds, all as
provided in this Thirty-Second Supplement. The Paying Agent/Registrar shall keep proper records of all
payments made by the City and the Paying Agent/Registrar with respect to the Bonds.
(c) In General. The Bonds (i) shall be issued in fully registered form, without interest coupons,
with the principal of and interest on such Bonds to be payable only to the registered owners thereof, (ii)
may be redeemed prior to their scheduled maturities, (iii) may be transferred and assigned, (iv) may be
converted and exchanged for other Bonds, (v) shall have the characteristics, (vi) shall be signed, sealed,
executed and authenticated, (vii) shall be payable as to principal and interest, and (viii) shall be
administered by the Paying Agent/Registrar and the City shall have certain duties and responsibilities
with respect to the Bonds, all as provided, and in the manner and to the effect as required or indicated, in
the FORM OF BOND. The Bonds of any series initially issued and delivered pursuant to this Thirty-
Second Supplement are not required to be, and shall not be, authenticated by the Paying
Agent/Registrar, but on each substitute Bond issued in conversion of and exchange for any Bond or
Bonds of a series issued under this Thirty-Second Supplement, the Paying Agent/Registrar shall execute
the Authentication Certificate.
(d) Substitute Paying Agent/Regis_ trar. The City covenants with the owners of the Bonds that at
all times while the Bonds are Outstanding a competent and legally qualified entity shall act as and
perform the services of Paying Agent/Registrar for the Bonds under this Thirty-Second Supplement, and
that the Paying Agent/Registrar will be one entity. Such entity may be the City, to the extent permitted
by law, or a bank, trust company, financial institution, or other agency, as selected by the City. The City
reserves the right to, and may, at its option, change the Paying Agent/Registrar upon not less than one
hundred and twenty (120) days written notice to the Paying Agent/Registrar, to be effective not later
than sixty (60) days prior to the next principal or interest payment date after such notice. In the event
that the entity at any time acting as Paying Agent/Registrar (or its successor by merger, acquisition, or
other method) should resign or otherwise cease to act as such, the City covenants that promptly it will
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appoint a competent and legally qualified entity to act as Paying Agent/Registrar under this Thirty-
Second Supplement. Upon any change in the Paying Agent/Registrar, the previous Paying
Agent/Registrar promptly shall transfer and deliver the Registration Books (or a copy thereof), along
with all other pertinent books and records relating to the Bonds, to the new Paying Agent/Registrar
designated and appointed by the City. Upon any change in the Paying Agent/Registrar, the City
promptly will cause a written notice thereof to be sent by the new Paying Agent/Registrar to each owner
of the Bonds, by United States mail, first-class postage prepaid, which notice also shall give the address
of the new Paying Agent/Registrar. By accepting the position and performing as such, each Paying
Agent/Registrar shall be deemed to have agreed to the provisions of this Thirty-Second Supplement, and
a certified copy of this Thirty-Second Supplement shall be delivered to each Paying Agent/Registrar.
Section 6. FORM OF BONDS. (a) Form of Bonds. That the form of all Bonds, including the
form of the Authentication Certificate, the form of Assignment, and the form of the Comptroller's
Registration Certificate to be attached only to the Bonds initially issued and delivered pursuant to this
Thirty-Second Supplement, shall be, respectively, substantially as set forth in Exhibit B, with such
appropriate variations, omissions, or insertions as are permitted or required by this Thirty-Second
Supplement.
(b) Printing Bond Counsel Opinion and Statement of Insurance. The printer of the Bonds is
hereby authorized to print on the Bonds the form of bond counsel's opinion relating to the Bonds, and is
hereby authorized to print on the Bonds an appropriate statement of insurance furnished by a municipal
bond insurance company providing municipal bond insurance, if any, covering all or any part of the
Bonds.
Section 7. ESTABLISHMENT OF FINANCING PROGRAM AND ISSUANCE OF PARITY
OBLIGATIONS. That by adoption of the Master Ordinance the City has established the City of Fort
Worth, Texas Water and Sewer System Revenue Financing Program for the purpose of providing a
financing structure for revenue supported indebtedness of the System. The Master Ordinance is
intended to establish a master plan under which revenue supported debt of the System can be incurred.
This Thirty-Second Supplement provides for the authorization, issuance, sale, delivery, form,
characteristics, provisions of payment and redemption, and security of the Bonds of any series, and any
such series of Bonds issued under authority of this Thirty-Second Supplement shall constitute Parity
Obligations. The Master Ordinance is incorporated herein by reference and as such made a part hereof
for all purposes, except to the extent modified and supplemented hereby, and the Bonds are hereby
declared to be Parity Obligations under the Master Ordinance. The City hereby determines that it will
have sufficient funds to meet the financial obligations of the System, including sufficient Pledged
Revenues to satisfy the Annual Debt Service Requirements of the System and to meet all financial
obligations of the City relating to the System.
Section 8. PLEDGE. (a) Pledge of Pledged Revenues. That the Bonds are and shall be secured
by and payable from a first lien on and pledge of the Pledged Revenues; and the Pledged Revenues are
further pledged to the establishment and maintenance of the Debt Service Fund, and to the Reserve Fund
to the extent hereinafter provided. The Bonds are and will be secured by and payable only from the
Pledged Revenues, and are not secured by or payable from a mortgage or deed of trust on any properties,
whether real,personal, or mixed, constituting the System.
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(b) Perfection of Lien. Chapter 1208 applies to the issuance of the Bonds and the pledge of the
Pledged Revenues granted by the City under subsection (a) of this Section, and such pledge is therefore
valid, effective, and perfected. If Texas law is amended at any time while the Bonds are Outstanding
and unpaid such that the pledge of the Pledged Revenues granted by the City is to be subject to the filing
requirements of Chapter 9,then in order to preserve to the registered owners of the Bonds the perfection
of the security interest in said pledge, the City agrees to take such measures as it determines are
reasonable and necessary under Texas law to comply with the applicable provisions of Chapter 9 and
enable a filing to perfect the security interest in said pledge to occur.
Section 9. DEBT SERVICE FUND ACCOUNTS. That with respect to the Bonds no special
account need be established to facilitate the payment of debt service on the Bonds.
Section 10. RESERVE FUND. That no deposits shall be made to the credit of the Reserve
Fund, as provided in Section 12(b)of this Thirty-Second Supplement.
Section 11. INVESTMENTS. That to the extent a reserve fund for the Bonds is created after
their delivery, money in the Reserve Fund created under this Thirty-Second Supplement shall not be
invested in securities with an average aggregate weighted maturity of greater than seven years. The
value of the Reserve Fund, in addition to the annual determination described in the Master Ordinance,
shall be established at the time or times withdrawals are made therefrom. Investments shall be sold
promptly when necessary to prevent any default in connection with the Bonds. Earnings derived from
the investment of moneys on deposit in the various Funds and Accounts shall be credited to the Fund or
Account from which moneys used to acquire such investment shall have come.
Section 12. FLOW OF FUNDS. That all monies in the System Fund not required for paying
Operating Expenses during each month shall be applied by the City, on or before the 10th day of the
following month, commencing during the months and in the order of priority with respect to the Funds
and Accounts that such applications are hereinafter set forth in this Section.
(a) Debt Service Fund - To the credit of the Debt Service Fund, in the following order of
priority, to-wit:
(1) such amounts, deposited in approximately equal monthly installments, commencing
during the month in which a series of the Bonds is delivered, or the month thereafter if delivery
is made after the 10th day thereof, as will be sufficient, together with other amounts, if any, in
the Debt Service Fund available for such purpose, to pay the interest scheduled to come due on
such Bonds on the next succeeding interest payment date; and
(2) such amounts, deposited in approximately equal monthly installments, commencing
during the month which shall be the later to occur of, (i) the twelfth month before the first
maturity date of a series of the Bonds, or (ii) the month in which a series of the Bonds is
delivered, or the month thereafter if delivery is made after the 10th day thereof, as will be
sufficient, together with other amounts, if any, in the Debt Service Fund available for such
purpose, to pay the principal (including mandatory sinking fund redemption payments, if any)
scheduled to mature or come due on such Bonds on the next succeeding principal payment date
or mandatory sinking fund redemption date, as the case may be.
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(b) Reserve Fund. Acting in accordance with the provisions of the Master Ordinance,
specifically, without limitation, Section 7 thereof, it is not necessary for the Bonds to be secured by the
Reserve Fund established for the benefit of the owners of Parity Obligations, and therefore the City may,
but shall not be required to, make deposits to the credit of the Reserve Fund with respect to the Bonds of
any series.
Section 13. PAYMENT OF BONDS. That on or before the first scheduled interest payment
date, and on or before each interest payment date and principal payment date thereafter while any Bond
is Outstanding and unpaid, the City shall make available to the Paying Agent/Registrar, out of the Debt
Service Fund (and the Reserve Fund, if necessary) monies sufficient to pay such interest on and such
principal amount of the Bonds, as shall become due on such dates, respectively, at maturity or by
redemption prior to maturity. The Paying Agent/Registrar shall destroy all paid Bonds and furnish the
City with an appropriate certificate of cancellation or destruction.
Section 14. COVENANTS REGARDING TAX-EXEMPTION. That the Issuer covenants to
refrain from any action which would adversely affect, or to take such action as to ensure, the treatment
of the Bonds as obligations described in section 103 of the Code, the interest on which is not includable
in the "gross income" of the holder for purposes of federal income taxation. In furtherance thereof, the
Issuer covenants as follows:
(a) to take any action to assure that no more than ten percent (10%) of the proceeds of
the Bonds or the projects financed or refinanced therewith (less amounts deposited to a reserve
fund, if any) are used for any "private business use", as defined in section 141(b)(6) of the Code
or, if more than ten percent (10%) of the proceeds are so used, that amounts, whether or not
received by the Issuer, with respect to such private business use, do not, under the terms of this
Thirty-Second Supplement or any underlying arrangement, directly or indirectly, secure or
provide for the payment of more than ten percent (10%) of the debt service on the Bonds, in
contravention of section 141(b)(2)of the Code;
(b) to take any action to assure that in the event that the "private business use" described
in subsection (a) hereof exceeds five percent (5%) of the proceeds of the Bonds or the projects
financed therewith (less amounts deposited into a reserve fund, if any)then the amount in excess
of five percent (5%) is used for a "private business use" which is "related" and not
"disproportionate", within the meaning of section 141(b)(3) of the Code, to the governmental
use;
(c) to take any action to assure that no amount which is greater than the lesser of
$5,000,000, or five percent (5%) of the proceeds of the Bonds (less amounts deposited into a
reserve fund, if any) is directly or indirectly used to finance loans to persons, other than state or
local governmental units, in contravention of section 141(c)of the Code;
(d) to refrain from taking any action which would otherwise result in the Bonds being
treated as "specified private activity bonds" within the meaning of section 141(b)of the Code;
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(e) to refrain from taking any action that would result in the Bonds being "federally
guaranteed" within the meaning of section 149(b) of the Code;
(f) to refrain from using any portion of the proceeds of the Bonds, directly or indirectly,
to acquire or to replace funds which were used, directly or indirectly, to acquire investment
property (as defined in section 148(b)(2) of the Code) which produces a materially higher yield
over the term of the Bonds, other than investment property acquired with --
(1) proceeds of the Bonds invested for a reasonable temporary period until such
proceeds are needed for the purpose for which the Bonds are issued,
(2) amounts invested in a bona fide debt service fund, within the meaning of
section 1.148-1(b) of the Treasury Regulations, and
(3) amounts deposited in any reasonably required reserve or replacement fund to
the extent such amounts do not exceed ten percent of the proceeds of the Bonds;
(g) to otherwise restrict the use of the proceeds of the Bonds or amounts treated as
proceeds of the Bonds, as may be necessary, so that the Bonds do not otherwise contravene the
requirements of section 148 of the Code (relating to arbitrage);
(h) to refrain from using the proceeds of the Bonds or the proceeds of any prior bonds to
pay debt service on another issue more than 90 days after the date of issue of the Bonds in
contravention of section 149(d) of the Code (relating to advance refundings); and
(i) to pay to the United States of America at least once during each five-year period
(beginning on the date of delivery of the Bonds) an amount that is at least equal to ninety percent
(90%) of the "Excess Earnings", within the meaning of section 148(f) of the Code and to pay to
the United States of America, not later than sixty (60) days after the Bonds have been paid in
full, one hundred percent (100%) of the amount then required to be paid as a result of Excess
Earnings under section 148(f) of the Code.
For purposes of the foregoing clauses (a) and (b) above, the Issuer understands that the term
"proceeds" includes "disposition proceeds" as defined in the Treasury Regulations and, in the case of a
refunding bond, transferred proceeds (if any) and proceeds of the refunded bonds expended prior to the
date of the issuance of the Bonds. It is the understanding of the Issuer that the covenants contained
herein are intended to assure compliance with the Code and any regulations or rulings promulgated by
the U.S. Department of the Treasury pursuant thereto. In the event that regulations or rulings are
hereafter promulgated which modify or expand provisions of the Code, as applicable to the Bonds, the
Issuer will not be required to comply with any covenant contained herein to the extent that such failure
to comply, in the opinion of nationally-recognized bond counsel, will not adversely affect the exemption
from federal income taxation of interest on the Bonds under section 103 of the Code. In the event that
regulations or rulings are hereafter promulgated which impose additional requirements which are
applicable to the Bonds, the Issuer agrees to comply with the additional requirements to the extent
necessary, in the opinion of nationally-recognized bond counsel, to preserve the exemption from federal
income taxation of interest on the Bonds under section 103 of the Code. In furtherance of the foregoing,
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the Mayor, the City Manager, any Assistant City Manager and the Chief Financial Officer/Director of
Financial Management Services of the City are authorized to execute any certificates or other reports
required by the Code and to make such elections, on behalf of the City, which may be permitted by the
Code as are consistent with the purpose for the issuance of the Bonds. In order to facilitate compliance
with the above clause (i), a "Rebate Fund" may be established by the City for the sole benefit of the
United States of America, and the Rebate Fund shall not be subject to the claim-of any other person,
including without limitation the registered owners of the Bonds. The Rebate Fund would be established
for the additional purpose of compliance with section 148 of the Code.
Section 15. ADDITIONAL FEDERAL INCOME TAX COVENANTS; WRITTEN
PROCEDURES. (a) Disposition of Project. The City covenants that the property financed or
refinanced with the proceeds of Bonds will not be sold or otherwise disposed in a transaction resulting in
the receipt by the City of cash or other compensation, unless the City obtains an opinion of nationally-
recognized bond counsel substantially to the effect that such sale or other disposition will not adversely
affect the tax-exempt status of such Bonds. For purposes of this Section, the portion of the property
comprising personal property and disposed of in the ordinary course of business shall not be treated as a
transaction resulting in the receipt of cash or other compensation. For purposes of this Section, the City
shall not be obligated to comply with this covenant if it obtains an opinion of nationally-recognized
bond counsel to the effect that such failure to comply will not adversely affect the excludability for
federal income tax purposes from gross income of the interest.
(b) Written Procedures. Until superseded by another action of the City, the written procedures
to ensure compliance with the covenants contained herein regarding private business use, remedial
actions, arbitrage and rebate approved by the City on September 26, 2017, apply to the issuance of the
Bonds, and are incorporated by reference into this Thirty-Second Supplement.
Section 16. AMENDMENT OF THIRTY-SECOND SUPPLEMENT. (a) Approval of
Bondholders Required. That the owners of a majority in Outstanding Principal Amount of the Bonds
shall have the right from time to time to approve any amendment to this Thirty-Second Supplement
which may be deemed necessary or desirable by the City, provided, however, that nothing herein
contained shall permit or be construed to permit the amendment of the terms and conditions in this
Thirty-Second Supplement or in the Bonds so as to:
(1) Make any change in the maturity of any of the Outstanding Bonds;
(2) Reduce the rate of interest borne by any of the Outstanding Bonds;
(3) Reduce the amount of the principal payable on the Outstanding Bonds;
(4) Modify the terms of payment of principal of, premium, if any, or interest on the
Outstanding Bonds or impose any conditions with respect to such payment;
(5) Affect the rights of the owners of less than all of the Bonds then Outstanding;
(6) Amend this clause (a) of this Section; or
(7) Change the minimum percentage of the principal amount of Bonds necessary for consent
to any amendment;
unless such amendment or amendments shall be approved by the owners of all of the Bonds then
Outstanding.
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(b) Notice of Amendment. That if at any time the City shall desire to amend the Thirty-Second
Supplement under this Section, the City shall cause notice of the proposed amendment to be published
in a financial newspaper or journal published in the City of New York, New York, and a newspaper of
general circulation in the City, once during each calendar week for at least two (2) successive calendar
weeks. Such notice shall briefly set forth the nature of the proposed amendment and shall state that a
copy thereof is on file at the principal office of the Paying Agent/Registrar for inspection by all owners
of the Bonds. Such publication is not required, however, if notice in writing is given to each owner of
the Bonds.
(c) Effectiveness of Consent and Approval. That whenever at any time not less than thirty (30)
days, and within one (1) year, from the date of the first publication of said notice or other service of
written notice the City shall receive an instrument or instruments executed by the owners of at least a
majority in Outstanding Principal Amount of the Bonds then Outstanding, which instrument or
instruments shall refer to the proposed amendment described in said notice and which specifically
consent to and approve such amendment in substantially the form of the copy thereof on file with the
Paying Agent/Registrar, the City Council of the City may pass such amendment in substantially the
same form.
(d) Amendment Effective. That upon the passage of any such amendment pursuant to the
provisions of this Section, this Thirty-Second Supplement shall be deemed to be amended in accordance
with such amendment, and the respective rights, duties and obligations under this Thirty-Second
Supplement of the City and all the owners of then Outstanding Bonds shall thereafter be determined,
exercised and enforced hereunder, subject in all respects to such amendment.
(e) Revocation of Consent. That any consent given by the owners of a Bond pursuant to the
provisions of this Section shall be irrevocable for a period of six (6) months from the date of the first
publication of the notice provided for in this Section, and shall be conclusive and binding upon all future
owners of the same Bond during such period. Such consent may be revoked at any time after six (6)
months from the date of the first publication of such notice by the owner who gave such consent, or by a
successor in title, by filing written notice thereof with the Paying Agent/Registrar and the City, but such
revocation shall not be effective if the owners of at least a majority in Outstanding Principal Amount of
the Bonds have, prior to the attempted revocation, consented to and approved the amendment.
(f) Amendments Not Requiring Bondholder Consent. The foregoing provisions of this Section
notwithstanding, the City by action of the City Council may amend this Thirty-Second Supplement
without the consent of any owner of the Bonds or any other Parity Obligations, solely for any one or
more of the following purposes:
(1) To add to the covenants and agreements of the City in this Thirty-Second
Supplement contained, other covenants and agreements thereafter to be observed, grant
additional rights or remedies to the owners of the Bonds or to surrender, restrict or limit any right
or power herein reserved to or conferred upon the City;
(2) To make such provisions for the purpose of curing any ambiguity, or curing,
correcting or supplementing any defective provision contained in this Thirty-Second
Supplement, or in regard to clarifying matters or questions arising under this Thirty-Second
16
Supplement, as are necessary or desirable and not contrary to or inconsistent with this Thirty-
Second Supplement and which shall not adversely affect the interests of the owners of the Bonds
then Outstanding;
(3) To modify any of the provisions of this Thirty-Second Supplement in any other
respect whatsoever, provided that such modification shall be, and be expressed to be, effective
only after the Bonds Outstanding at the date of the adoption of such modification shall cease to
be Outstanding;
(4) To make such amendments to this Thirty-Second Supplement as may be required, in
the opinion of Bond Counsel, to ensure compliance with sections 103 and 141 through 150 of the
Code and the regulations promulgated thereunder and applicable thereto;
(5) To make such changes, modifications or amendments as may be necessary or
desirable in order to allow the owners of the Bonds to thereafter avail themselves of a book-entry
system for payments, transfers and other matters relating to the Bonds, which changes,
modifications or amendments are not contrary to or inconsistent with other provisions of this
Thirty-Second Supplement and which shall not adversely affect the interests of the owners of the
Bonds;
(6) To make such changes, modifications or amendments as are permitted by Section
18(c)(vi) of this Thirty-Second Supplement;
(7) To make such changes, modifications or amendments as may be necessary or
desirable in order to obtain or maintain the granting of a rating on the Bonds by a Rating Agency
or to obtain or maintain a Credit Agreement or a Credit Facility issued in support of the Bonds;
and
(8) To make such changes, modifications or amendments as may be necessary or
desirable, which shall not adversely affect the interests of the owners of the Bonds, in order, to
the extent permitted by law, to facilitate the economic and practical utilization of interest rate
swap agreements, foreign currency exchange agreements, or similar type of agreements with
respect to the Bonds.
Notice of any such amendment may be published by the City in the manner described in clause (b) of
this Section; provided, however, that the publication of such notice shall not constitute a condition
precedent to the adoption of such amendatory ordinance and the failure to publish such notice shall not
adversely affect the implementation of such amendment as adopted pursuant to such amendatory
ordinance.
(g) Eligibility to Approve Amendment. Ownership of the Bonds shall be established by the
Registration Books maintained by the Paying Agent/Registrar, in its capacity as registrar and transfer
agent for the Bonds.
Section 17. DAMAGED, MUTILATED, LOST, STOLEN, OR DESTROYED BONDS. (a)
Delivery of Substitute Bonds. That in the event any Outstanding Bond is damaged, mutilated, lost,
17
stolen, or destroyed, the Paying Agent/Registrar shall cause to be printed, executed, and delivered, a new
Bond of the same principal amount, maturity, and interest rate, as the damaged, mutilated, lost, stolen, or
destroyed Bond, in replacement for such Bond in the manner hereinafter provided.
(b) Application. Application for replacement of damaged, mutilated, lost, stolen, or destroyed
Bonds shall be made to the Paying Agent/Registrar. In every case of loss, theft, or destruction of a
Bond, the applicant for a replacement bond shall furnish to the City and to the Paying Agent/Registrar
such security or indemnity as may be required by them to save each of them harmless from any loss or
damage with respect thereto. Also, in every case of loss, theft, or destruction of a Bond, the applicant
shall furnish to the City and to the Paying Agent/Registrar evidence to their satisfaction of the loss, theft,
or destruction of such Bond, as the case may be. In every case of damage or mutilation of a Bond, the
applicant shall surrender to the Paying Agent/Registrar for cancellation the Bond so damaged or
mutilated.
(c) Payment without Replacement Bond. Notwithstanding the foregoing provisions of this
Section, in the event any such Bond shall have matured, and no default has occurred which is then
continuing in the payment of the principal of, premium, if any, or interest on the Bond, the City may
authorize the payment of the same (without surrender thereof except in the case of a damaged or
mutilated Bond) instead of issuing a replacement Bond, provided security or indemnity is furnished as
above provided in this Section.
(d) Costs of Replacement Bond. Prior to the issuance of any replacement bond, the Paying
Agent/Registrar shall charge the owner of such Bond with all legal, printing, and other expenses in
connection therewith. Every replacement bond issued pursuant to the provisions of this Section by
virtue of the fact that any Bond is lost, stolen, or destroyed shall constitute a contractual obligation of the
City whether the lost, stolen, or destroyed Bond shall be found at any time, or be enforceable by anyone,
and shall be entitled to all the benefits of this Thirty-Second Supplement equally and proportionately
with any and all other Bonds duly issued under this Thirty-Second Supplement.
(e) Statutory Authority. In accordance with Chapter 1206, this Section of this Thirty-Second
Supplement shall constitute authority for the issuance of any such replacement bond without necessity of
further action by the City Council of the City or any other body or person, and the duty of the
replacement of such bonds is hereby authorized and imposed upon the Paying Agent/Registrar, and the
Paying Agent/Registrar shall authenticate and deliver such bonds in the form and manner and with the
effect, as provided in Section 5(a) of this Thirty-Second Supplement for Bonds issued in exchange for
other Bonds.
Section 18. CONTINUING DISCLOSURE UNDERTAKING. (a) Annual Reports. (i) That
the City shall provide annually to the MSRB (1) within six months after the end of each fiscal year
ending in or after the first fiscal year in which Bonds are issued, financial information and operating data
with respect to the City of the general type described in Exhibit C hereto, and (2) if not provided as part
of the financial information and operating data, annual financial statements of the City, when and if
available. Any financial statements so to be provided shall be (1) prepared in accordance with the
accounting principles described in Exhibit C hereto, or such other accounting principles as the City may
be required to employ from time to time pursuant to state law or regulation, and (2) audited, if the City
commissions an audit of such statements and the audit is completed within twelve (12) months after the
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end of each fiscal year ending in or after the first fiscal year in which Bonds are issued. If audited
financial statements are not available by the end of the twelve (12) month period, then the City shall
provide notice that the audited financial statements are not available, shall provide unaudited financial
information containing the information described in the tables referenced in Exhibit C hereto under the
heading "Annual Financial Statements and Operating Data' by the required time, and shall provide
audited financial statements for the applicable fiscal year to the MSRB, when and if the audited financial
statements become available.
(ii) If the City changes its Fiscal Year, it will notify the MSRB of the change (and of the date of
the new Fiscal Year end) prior to the next date by which the City otherwise would be required to provide
financial information and operating data pursuant to this Section. The financial information and
operating data to be provided pursuant to this Section may be set forth in full in one or more documents
or may be included by specific reference to any document (including an official statement or other
offering document, if it is available from the MSRB) that theretofore has been provided to the MSRB or
filed with the SEC. Filings shall be made electronically, in such format as is prescribed by the MSRB.
(b) Disclosure Event Notices. The City shall notify the MSRB of any of the following events
with respect to the Bonds, in a timely manner not in excess of ten Business Days after the occurrence of
the event:
1. Principal and interest payment delinquencies;
2. Non-payment related defaults, if material;
3. Unscheduled draws on debt service reserves reflecting financial difficulties;
4. Unscheduled draws on credit enhancements reflecting financial difficulties;
5. Substitution of credit or liquidity providers, or their failure to perform;
6. Adverse tax opinions, the issuance by the Internal Revenue Service of proposed
or final determinations of taxability, Notices of Proposed Issue (IRS Form 5701-
TEB) or other material notices or determinations with respect to the tax status of
the Bonds, or other material events affecting the tax status of the Bonds;
7. Modifications to rights of holders of the Bonds, if material;
8. Bond calls, if material, and tender offers;
9. Defeasances;
10. Release, substitution, or sale of property securing repayment of the Bonds, if
material;
11. Rating changes;
12. Bankruptcy, insolvency, receivership or similar event of the City;
13. The consummation of a merger, consolidation, or acquisition involving the City
or the sale of all or substantially all of the assets of the City, other than in the
ordinary course of business, the entry into a definitive agreement to undertake
such an action or the termination of a definitive agreement relating to any such
actions, other than pursuant to its terms, if material; and .
14. Appointment of a successor Paying Agent/Registrar or change in the name of the
Paying Agent/Registrar, if material.
The City shall notify the MSRB, in a timely manner, of any failure by the City to provide financial
information or operating data in accordance with subsection (b) of this Section by the time required by
subsection (a). As used in clause 12 above, the phrase "bankruptcy, insolvency, receivership or similar
19
event" means the appointment of a receiver, fiscal agent or similar officer for the City in a proceeding
under the U.S. Bankruptcy Code or in any other proceeding under state or federal law in which a court
or governmental authority has assumed jurisdiction over substantially all of the assets or business of the
City, or if jurisdiction has been assumed by leaving the City Council and official or officers of the City
in possession but subject to the supervision and orders of a court or governmental authority, or the entry
of an order confirming a plan of reorganization, arrangement or liquidation by a court or governmental
authority having supervision or jurisdiction over substantially all of the assets or business of the City.
(c) Limitations, Disclaimers, and Amendments. (i) The City shall be obligated to observe and
perform the covenants specified in this Section for so long as, but only for so long as, the City remains
an "obligated person" with respect to the Bonds within the meaning of the Rule, except that the City in
any event will give notice of any deposit made in accordance with this Thirty-Second Supplement or
applicable law that causes Bonds no longer to be Outstanding.
(ii) The provisions of this Section are for the sole benefit of the Holders and beneficial owners
of the Bonds, and nothing in this Section, express or implied, shall give any benefit or any legal or
equitable right, remedy, or claim hereunder to any other person. The City undertakes to provide only the
financial information, operating data, financial statements, and notices which it has expressly agreed to
provide pursuant to this Section and does not hereby undertake to provide any other information that
may be relevant or material to a complete presentation of the City's financial results, condition, or
prospects or to update any information provided in accordance with this Section or otherwise, except as
expressly provided herein. The City does not make any representation or warranty concerning such
information or its usefulness to a decision to invest in or sell Bonds at any future date.
(iii) UNDER NO CIRCUMSTANCES SHALL THE CITY BE LIABLE TO THE HOLDER
OR BENEFICIAL OWNER OF ANY BOND OR ANY OTHER PERSON, IN CONTRACT OR
TORT, FOR DAMAGES RESULTING IN WHOLE OR IN PART FROM ANY BREACH BY THE
CITY, WHETHER NEGLIGENT OR WITHOUT FAULT ON ITS PART, OF ANY COVENANT
SPECIFIED IN THIS SECTION, BUT EVERY RIGHT AND REMEDY OF ANY SUCH PERSON, IN
CONTRACT OR TORT, FOR OR ON ACCOUNT OF ANY SUCH BREACH SHALL BE LIMITED
TO AN ACTION FOR MANDAMUS OR SPECIFIC PERFORMANCE.
(iv) No default by the City in observing or performing its obligations under this Section shall
comprise a breach of or default under this Thirty-Second Supplement for purposes of any other
provision of this Thirty-Second Supplement. Nothing in this Section is intended or shall act to disclaim,
waive, or otherwise limit the duties of the City under federal and state securities laws.
(v) Should the Rule be amended to obligate the City to make filings with or provide notices to
entities other than the MSRB, the City agrees to undertake such obligation in accordance with the Rule
as amended.
(vi) The provisions of this Section may be amended by the City from time to time to adapt to
changed circumstances that arise from a change in legal requirements, a change in law, or a change in
the identity, nature, status, or type of operations of the City, but only if(1)the provisions of this Section,
as so amended, would have permitted an underwriter to purchase or sell Bonds in the primary offering of
the Bonds in compliance with the Rule, taking into account any amendments or interpretations of the
20
Rule since such offering as well as such changed circumstances and (2) either (a) the Holders of a
majority in aggregate principal amount (or any greater amount required by any other provision of this
Thirty-Second Supplement that authorizes such an amendment) of the Outstanding Bonds consent to
such amendment or (b) a person that is unaffiliated with the City (such as nationally recognized bond
counsel) determines that such amendment will not materially impair the interest of the holders and
beneficial owners of the Bonds. If the City so amends the provisions of this Section, it shall include
with any amended financial information or operating data next provided in accordance with subsection
(a) of this Section an explanation, in narrative form, of the reason for the amendment and of the impact
of any change in the type of financial information or operating data so provided.
Section 19. THIRTY-SECOND SUPPLEMENT TO CONSTITUTE A CONTRACT; EQUAL
SECURITY. That in consideration of the acceptance of the Bonds, the issuance of which is authorized
hereunder, by those who shall hold the same from time to time, this Thirty-Second Supplement shall be
deemed to be and shall constitute a contract between the City and the Holders from time to time of the
Bonds and the pledge made in this Thirty-Second Supplement by the City and the covenants and
agreements set forth in this Thirty-Second Supplement to be performed by the City shall be for the equal
and proportionate benefit, security, and protection of all Holders, without preference, priority, or
distinction as to security or otherwise of any of the Bonds authorized hereunder over any of the others
by reason of time of issuance, sale, or maturity thereof or otherwise for any cause whatsoever, except as
expressly provided in or permitted by this Thirty-Second Supplement.
Section 20. SEVERABILITY OF INVALID PROVISIONS. That if any one or more of the
covenants, agreements, or provisions herein contained shall be held contrary to any express provisions
of law or contrary to the policy of express law, though not expressly prohibited, or against public policy,
or shall for any reason whatsoever be held invalid, then such covenants, agreements, or provisions shall
be null and void and shall be deemed separable from the remaining covenants, agreements, or provisions
and shall in no way affect the validity of any of the other provisions hereof or of the Bonds issued
hereunder.
Section 21. PAYMENT AND PERFORMANCE ON BUSINESS DAYS. That, except as
provided to the contrary in the FORM OF BOND, whenever under the terms of this Thirty-Second
Supplement or the Bonds, the performance date of any provision hereof or thereof, including the
payment of principal of or interest on the Bonds, shall occur on a day other than a Business Day, then
the performance thereof, including the payment of principal of and interest on the Bonds, need not be
made on such day but may be performed or paid, as the case may be, on the next succeeding Business
Day with the same force and effect as if made on the date of performance or payment.
Section 22. LIMITATION OF BENEFITS WITH RESPECT TO THE THIRTY-SECOND
SUPPLEMENT. That with the exception of the rights or benefits herein expressly conferred, nothing
expressed or contained herein or implied from the provisions of this Thirty-Second Supplement or the
Bonds is intended or should be construed to confer upon or give to any person other than the City, the
Holders, and the Paying Agent/Registrar, any legal or equitable right, remedy, or claim under or by
reason of or in respect to this Thirty-Second Supplement or any covenant, condition, stipulation,
promise, agreement, or provision herein contained. This Thirty-Second Supplement and all of the
covenants, conditions, stipulations, promises, agreements, and provisions hereof are intended to be and
21
shall be for and inure to the sole and exclusive benefit of the City, the Holders, and the Paying
Agent/Registrar as herein and therein provided.
Section 23. FURTHER PROCEDURES. That the Mayor, the City Manager, any Assistant City
Manager, the Chief Financial Officer/Director of Financial Management Services of the City, the City
Secretary or any Assistant City Secretary, and all other officers, employees, and agents of the City, and
each of them, shall be and they are hereby expressly authorized, empowered and directed from time to
time and at any time to do and perform all such acts and things and to execute, acknowledge and deliver
in the name and under the corporate seal and on behalf of the City all such instruments, whether herein
mentioned, as may be necessary or desirable in order to carry out the terms and provisions of this Thirty-
Second Supplement and the Bonds, including, but not limited to, and fixing all details in connection
therewith, to prepare the Bidding Instructions and Official Bid Form, in the case of Bonds sold through a
competitive sale, and to approve any Official Statement, or supplements thereto, in connection with the
Bonds. Any final Official Statement relating to the offering of any series of Bonds, either through a
competitive sale or a negotiated sale conducted as a public underwriting, shall be approved by an
Authorized Representative. Each Authorized Representative is authorized to approve any supplement to
the Official Statement incorporating the information contained in the Bond Purchase Agreement, in the
case of a negotiated sale conducted as a public underwriting, and the Bidding Instructions and Official
Bid Form, in the case of a competitive sale, and such additional information as deemed material
consistent with the requirements of the Rule and to authorize the distribution of any such final Official
Statement to the initial purchasers of the Bonds for their use in the sale of the Bonds to members of the
general public. The use of any such final Official Statement in the offer and sale of the Bonds is hereby
approved. In case any officer whose signature shall appear on the Bonds shall cease to be such officer
before the delivery of the Bonds, such signature shall nevertheless be valid and sufficient for all
purposes the same as if such officer had remained in office until such delivery. The City Council
authorizes the payment of the fee of the Office of the Attorney General of the State of Texas for the
examination of the proceedings relating to the issuance of the Bonds of a series, in the amount
determined in accordance with the provisions of Section 1202.004, Texas Government Code.
Section 24. APPROVAL AND REGISTRATION OF BONDS. That the City Manager of the
City is hereby authorized to have control of the Bonds and all necessary records and proceedings
pertaining to the Bonds pending their delivery and their investigation, examination and approval by the
Attorney General, and their registration by the Comptroller. Upon registration of the Bonds, the
Comptroller (or a deputy designated in writing to act for the Comptroller) shall manually sign the
Comptroller's Registration Certificate accompanying the Bonds, and the seal of the Comptroller shall be
impressed, or placed in facsimile, on each such certificate.
Section 25. DTC REGISTRATION. That the Bonds initially shall be issued and delivered in
such manner that no physical distribution of the Bonds will be made to the public, and The Depository
Trust Company ("DTC"), New York,New York, initially will act as depository for the Bonds. DTC has
represented that it is a limited purpose trust company incorporated under the laws of the State of New
York, a member of the Federal Reserve System, a "clearing corporation" within the meaning of the New
York Uniform Commercial Code, and a "clearing agency" registered under Section 17A of the Securities
Exchange Act of 1934, as amended, and the City accepts, but in no way verifies, such representations.
The Bonds initially authorized by this Thirty-Second Supplement shall be delivered to and registered in
the name of CEDE & CO., the nominee of DTC. So long as each Bond is registered in the name of
22
CEDE & CO., the Paying Agent/Registrar shall treat and deal with DTC the same in all respects as if it
were the actual and beneficial owner thereof. It is expected that DTC will maintain a book-entry system
which will identify ownership of the Bonds in integral amounts of$5,000, with transfers of ownership
being effected on the records of DTC and its participants pursuant to rules and regulations established by
them, and that the Bonds initially deposited with DTC shall be immobilized and not be further
exchanged for substitute Bonds except as hereinafter provided. The City is not responsible or liable for
any functions of DTC, will not be responsible for paying any fees or charges with respect to its services,
will not be responsible or liable for maintaining, supervising, or reviewing the records of DTC or its
participants, or protecting any interests or rights of the beneficial owners of the Bonds. It shall be the
duty of the DTC Participants, as defined in the Official Statement herein approved, to make all
arrangements with DTC to establish this book-entry system, the beneficial ownership of the Bonds, and
the method of paying the fees and charges of DTC. The City does not represent nor covenant that the
initial book-entry system established with DTC will be maintained in the future. Notwithstanding the
initial establishment of the foregoing book-entry system with DTC, if for any reason any of the
originally delivered Bonds is duly filed with the Paying Agent/Registrar with proper request for transfer
and substitution, as provided for in this Thirty-Second Supplement, substitute Bonds will be duly
delivered as provided in this Thirty-Second Supplement, and there will be no assurance or representation
that any book-entry system will be maintained for such Bonds. To effect the establishment of the
foregoing book-entry system, the City has executed and filed with DTC the "Blanket DTC Letter of
Representations" in the form provided by DTC to evidence the City's intent to establish said book-entry
system. The foregoing notwithstanding, Bonds sold through a negotiated sale conducted as a private
placement are not subject to the requirements of this Section 25, unless the Bond Purchase Agreement
executed in connection with the sale of such Bonds provides that the DTC book-entry system of
registration shall apply to such Bonds.
Section 26. DEFAULT AND REMEDIES. (a) Events of Default. That each of the following
occurrences or events for the purpose of this Thirty-Second Supplement is hereby declared to be an
Event of Default:
(i) the failure to make payment of the principal of any Bond when the same becomes due
and payable; or
(ii) except as provided in Section 18(c)(iv) of this Thirty-Second Supplement, default in
the performance or observance of any other covenant, agreement or obligation of the City, the
failure to perform which materially, adversely affects the rights of the registered owners of the
Bonds, including, but not limited to, their prospect or ability to be repaid in accordance with this
Thirty-Second Supplement, and the continuation thereof for a period of sixty (60) days after
notice of such default is given by any registered owner to the City.
(b) Remedies for Default.
(i) Upon the happening of any Event of Default, then and in every case, any registered
owner or an authorized representative thereof, including, but not limited to, a trustee or trustees
therefor, may proceed against the City, or any official, officer or employee of the City in their
official capacity, for the purpose of protecting and enforcing the rights of the registered owners
under this Thirty-Second Supplement, by mandamus or other suit, action or special proceeding in
23
equity or at law, in any court of competent jurisdiction, for any relief permitted by law, including
the specific performance of any covenant or agreement contained herein, or thereby to enjoin any
act or thing that may be unlawful or in violation of any right of the registered owners hereunder
or any combination of such remedies.
(ii) It is provided that all such proceedings shall be instituted and maintained for the
equal benefit of all registered owners of Bonds then Outstanding.
(c) Remedies Not Exclusive.
(i) No remedy herein conferred or reserved is intended to be exclusive of any other
available remedy or remedies, but each and every such remedy shall be cumulative and shall be
in addition to every other remedy given hereunder or under the Bonds or now or hereafter
existing at law or in equity; provided, however, that notwithstanding any other provision of this
Thirty-Second Supplement, the right to accelerate the debt evidenced by the Bonds shall not be
available as a remedy under this Thirty-Second Supplement.
(ii) The exercise of any remedy herein conferred or reserved shall not be deemed a
waiver of any other available remedy.
(iii) By accepting the delivery of a Bond authorized under this Thirty-Second
Supplement, such registered owner agrees that the certifications required to effectuate any
covenants or representations contained in this Thirty-Second Supplement do not and shall never
constitute or give rise to a personal or pecuniary liability. or charge against the officers,
employees or members of the City or the City Council.
(iv) None of the members of the City Council, nor any other official or officer, agent, or
employee of the City, shall be charged personally by the registered owners with any liability, or
be held personally liable to the registered owners under any term or provision of this Thirty-
Second Supplement, or because of any Event of Default or alleged Event of Default under this
Thirty-Second Supplement.
Section 27. USE OF BOND PROCEEDS. That the proceeds from the sale of the Bonds of any
series shall be used in the manner described in a letter of instructions executed by or on behalf of the
City,provided, that proceeds representing accrued interest on such Bonds shall be deposited to the credit
of the Debt Service Fund and proceeds representing premium on such Bonds shall be used in a manner
consistent with the provisions of Section 1201.042(d), Texas Government Code.
Section 28. PREAMBLE. That the preamble to this Thirty-Second Supplement is hereby
incorporated by reference, and is to be considered a part of the operative text of this Thirty-Second
Supplement.
Section 29. RULES OF CONSTRUCTION. That for all purposes of this Thirty-Second
Supplement, unless the context requires otherwise, all references to designated Sections and other
subdivisions are to the Sections and other subdivisions of this Thirty-Second Supplement. The words
"herein", "hereof' and "hereunder" and other words of similar import refer to this Thirty-Second
24
Supplement as a whole and not to any particular Section or other subdivision. Except where the context
otherwise requires, terms defined in this Thirty-Second Supplement to impart the singular number shall
be considered to include the plural number and vice versa. References to any named person means that
party and its successors and assigns. References to any constitutional, statutory or regulatory provision
means such provision as it exists on the date this Thirty-Second Supplement is adopted by the City and
any future amendments thereto or successor provisions thereof. All ordinances and resolutions or parts
thereof in conflict herewith are hereby repealed.
Section 30. ORDINANCE 23029-12-2017 SUPERSEDED. That Ordinance 23029-12-2017,
adopted by the City Council on December 5, 2017, is superseded by the adoption of this Amended and
Restated Thirty-Second Supplemental Ordinance. The City confirms that no obligations were issued by
the City under authority of Ordinance 23029-12-2017.
Section 31. IMMEDIATE EFFECT. That this Thirty-Second Supplement shall be effective
immediately from and after its passage in accordance with the provisions of Section 1201.028, Texas
Government Code, and it is accordingly so ordained.
25
ADOPTED AND EFFECTIVE April 10, 2018.
or,
City of Fort Worxas
ity Secretary y Of F
APPROVED AS TO FORM AND LEGALITY:
AS
City Attorney
Signature Page—Ordinance Authorizing Issuance of
Water and Sewer System Revenue Refunding Bonds
26
EXHIBIT A
That, as used in this Thirty-Second Supplement, the following terms shall have the
meanings set forth below, unless the text hereof specifically indicates otherwise:
"Attorney General" means the Attorney General of the State of Texas.
"Authentication Certificate" shall have the meaning given said term in Section 5(a) of the
Thirty-Second Supplement.
"Authorized Denomination" shall have the meaning given said term in Section 3(a) of the
Thirty-Second Supplement.
"Authorized Representative" means the City Manager and the Chief Financial
Officer/Director of Financial Management Services of the City, acting individually but not
collectively.
"Bidding Instructions" means the Notice of Sale and Bidding Instructions distributed to
potential purchasers of Bonds of a series sold pursuant to a competitive sale.
"Bond Purchase Agreement" means a bond purchase agreement (i) between the City and
the Underwriters, pertaining to the purchase of Bonds by the Underwriters sold through a
negotiated sale conducted as a public underwriting, and (ii) between the City and the Purchaser,
pertaining to the purchase of Bonds by the Purchaser sold through a negotiated sale conducted as
a private placement.
"Bonds" means the bonds of any series authorized to be issued by the Thirty-Second
Supplement.
"Business Day" means a day other than a Sunday, Saturday, a legal holiday, or a day on
which banking institutions in the city where the Designated Trust Office of the Paying
Agent/Registrar is located are authorized by law or executive order to close.
"Chapter 9" means Chapter 9, Texas Business & Commerce Code.
"Chapter 1206" means Chapter 1206, Texas Government Code.
"Chapter 1207" means Chapter 1207, Texas Government Code.
"Chapter 1208" means Chapter 1208, Texas Government Code.
"Chapter 1502" means Chapter 1502, Texas Government Code.
"Comptroller" means the Comptroller of Public Accounts of the State of Texas.
"Designated Trust Office of the Paying Agent/Registrar" means the city so designated in
Section 5(a) of the Thirty-Second Supplement.
A-1
"DTC" shall have the meaning given said term in Section 25 of the Thirty-Second
Supplement.
"Eighteenth Supplement" means the ordinance authorizing the issuance of the Series
2010 Bonds.
"Master Ordinance" means the "Master Ordinance establishing the City of Fort Worth
Texas Water and Sewer System Revenue Financing Program", passed by the City on December
10, 1991.
"MSRB" means the Municipal Securities Rulemaking Board.
"Nineteenth Supplement" means the ordinance authorizing the issuance of the Series
2010A Bonds.
"Official Bid Form" means the bid form prepared in accordance with the Bidding
Instructions and submitted by potential purchasers of Bonds sold pursuant to a competitive sale.
"Official Statement" shall mean the offering document described in Section 23 of the
Thirty-Second Supplement and prepared in connection with the sale of Bonds through either a
competitive sale or a negotiated sale conducted as a public underwriting.
"Paying Agent/Registrar" means the financial institution specified in Section 5(a) of the
Thirty-Second Supplement.
"Previously Issued Parity Bonds" means the Series 2009 Bonds, the Series 2010 Bonds,
the Series 2010A Bonds, the Series 2010B Bonds, the Series 2010C Bonds, the Series 2011
Bonds, the Series 2012 Bonds, the Series 2014 Bonds, the Series 2015 Bonds, the Series 2015A
Bonds, the Series 2015B Bonds, the Series 2016 Bonds, the Series 2017 Bonds, the Series
2017A Bonds and the Series 2017B Bonds.
"Purchasers" means the entity or entities listed in the Official Bid Form accepted by the
City as the best bid for the Bonds of a series, in the case of a competitive sale of such Bonds, or
the bank or other financial institution listed in a Bond Purchase Agreement executed in
connection with a negotiated sale of Bonds conducted as a private placement.
"Refunded Commercial Paper Notes" means those Commercial Paper Notes designated
by the Chief Financial Officer/Director of Financial Management Services of the City in
accordance with Section 2(b) of this Thirty-Second Supplement to be refunded with the proceeds
of Bonds.
"Registration Books" shall have the meaning given said term in Section 5(a) of the
Thirty-Second Supplement.
"Rule" means SEC Rule 15c2-12, as amended from time to time.
"SEC" means the United States Securities and Exchange Commission.
"Series 2009 Bonds" means the City of Fort Worth, Texas Water and Sewer System
Revenue Bonds, Series 2009, authorized by the Seventeenth Supplement.
A-2
"Series 2010 Bonds" means the City of Fort Worth, Texas Water and Sewer System
Revenue Refunding Bonds, Series 2010, authorized by the Eighteenth Supplement.
"Series 2010A Bonds" means the City of Fort Worth, Texas Water and Sewer System
Revenue Bonds, Series 2010A, authorized by the Nineteenth Supplement.
"Series 2010B Bonds" means the City of Fort Worth, Texas Water and Sewer System
Revenue Bonds, Series 2010B, authorized by the Twentieth Supplement.
"Series 2010C Bonds" means the City of Fort Worth, Texas Water and Sewer System
Revenue Bonds, Series 2010C, authorized by the Twenty-First Supplement.
"Series 2011 Bonds" means the City of Fort Worth, Texas Water and Sewer System
Revenue Refunding and Improvement Bonds, Series 2011, authorized by the Twenty-Second
Supplement.
"Series 2012 Bonds" means the City of Fort Worth, Texas Water and Sewer System
Revenue Refunding Bonds, Series 2012, authorized by the Twenty-Third Supplement.
"Series 2014 Bonds" means the City of Fort Worth, Texas Water and Sewer System
Revenue Refunding and Improvement Bonds, Series 2014, authorized by the Twenty-Fourth
Supplement.
"Series 2015 Bonds" means the City of Fort Worth, Texas Water and Sewer System
Revenue Bonds, Series 2015, authorized by the Twenty-Fifth Supplement.
"Series 2015A Bonds" means the City of Fort Worth, Texas Water and Sewer System
Revenue Refunding and Improvement Bonds, Series 2015A, authorized by the Twenty-Sixth
Supplement.
"Series 2015B Bonds" means the City of Fort Worth, Texas Water and Sewer System
Revenue Bonds, Series 2015B, authorized by the Twenty-Seventh Supplement.
"Series 2016 Bonds" means the City of Fort Worth, Texas Water and Sewer System
Revenue Refunding and Improvement Bonds, Series 2016, authorized by the Twenty-Eighth
Supplement.
"Series 2017 Bonds" means the City of Fort Worth, Texas Water and Sewer System
Revenue Bonds, Series 2017, authorized by the Twenty-Ninth Supplement.
"Series 2017A Bonds" means the City of Fort Worth, Texas Water and Sewer System
Revenue Refunding and Improvement Bonds, Series 2017A, authorized by the Thirtieth
Supplement.
"Series 2017B Bonds" means the City of Fort Worth, Texas Water and Sewer System
Revenue Bonds, Series 201713, authorized by the Thirty-First Supplement.
"Seventeenth Supplement" means the ordinance authorizing the issuance of the Series
2009 Bonds.
A-3
"Term Bonds" means those Bonds, if any, identified in the Official Bid Form as "term
bonds".
"Thirtieth Supplement" means the ordinance authorizing the issuance of the Series 2017A
Bonds.
"Thirty-First Supplement" means the ordinance authorizing the issuance of the Series
2017B Bonds.
"Thirty-Second Supplement" means the ordinance authorizing the issuance of the Bonds.
"Thirty-Third Supplement" means the ordinance authorizing the proposed issuance of
City of Fort Worth, Texas Water and Sewer System Revenue Bonds, Series 2018, in an
aggregate principal amount not to exceed $50,000,000, anticipated to be issued in the fiscal year
ending September 30, 2018, and, if issued, would constitute a series of"Previously Issued Parity
Bonds".
"Treasury Regulations" means all applicable temporary, proposed and final regulations
and procedures promulgated under the Code or promulgated under the Internal Revenue Code of
1954, to the extent applicable to the Code.
"Twentieth Supplement" means the ordinance authorizing the issuance of the Series
2010B Bonds.
"Twenty-First Supplement" means the ordinance authorizing the issuance of the Series
2010C Bonds.
"Twenty-Second Supplement" means the ordinance authorizing the issuance of the Series
2011 Bonds.
"Twenty-Third Supplement" means the ordinance authorizing the issuance of the Series
2012 Bonds.
"Twenty-Fourth Supplement" means the ordinance authorizing the issuance of the Series
2014 Bonds.
"Twenty-Fifth Supplement" means the ordinance authorizing the issuance of the Series
2015 Bonds.
"Twenty-Sixth Supplement" means the ordinance authorizing the issuance of the Series
2015A Bonds.
"Twenty-Seventh Supplement" means the ordinance authorizing the issuance of the
Series 2015B Bonds.
"Twenty-Eighth Supplement" means the ordinance authorizing the issuance of the Series
2016 Bonds.
A-4
"Twenty-Ninth Supplement" means the ordinance authorizing the issuance of the Series
2017 Bonds.
"Underwriters" shall mean the investment banking firms listed in a Bond Purchase
Agreement executed in connection with a negotiated sale conducted as a public underwriting of
Bonds.
A-5
EXHIBIT B
FORM OF BOND:
NO. R- $
UNITED STATES OF AMERICA
STATE OF TEXAS
COUNTIES OF TARRANT, DENTON, PARKER, WISE AND JOHNSON
CITY OF FORT WORTH, TEXAS
WATER AND SEWER SYSTEM REVENUE
REFUNDING BOND, SERIES 201
MATURITY DATE INTEREST RATE DELIVERY DATE CUSIP
% , 201
ON THE MATURITY DATE SPECIFIED ABOVE, THE CITY OF FORT WORTH, IN
TARRANT, DENTON, PARKER, WISE AND JOHNSON COUNTIES, TEXAS (the "Issuer"),
hereby promises to pay to , or to the registered assignee hereof(either being
hereinafter called the "registered owner") the principal amount of
DOLLARS
and to pay interest thereon from the delivery date specified above, on 15, 201_ and
semiannually on each 15 and 15 thereafter to the maturity date specified
above, or to the date of redemption prior to maturity, at the interest rate per annum specified
above; except that if the Paying Agent/Registrar's Authentication Certificate appearing on the
face of this Bond is dated later than 15, 201_, such interest is payable semiannually on
each 15 and 15 following such date.
THE PRINCIPAL OF AND INTEREST ON this Bond are payable in lawful money of
the United States of America, without exchange or collection charges. The principal of this
Bond shall be paid to the registered owner hereof upon presentation and surrender of this Bond at
maturity, or at redemption prior to maturity, at the designated corporate trust office in Dallas,
Texas (the "Designated Trust Office"), of BOKF, NA, which is the "Paying Agent/Registrar" for
this Bond. The payment of interest on this Bond shall be made by the Paying Agent/Registrar to
the registered owner hereof on each interest payment date by check or draft, dated as of such
interest payment date, drawn by the Paying Agent/Registrar on, and payable solely from, funds
of the Issuer required by the ordinance authorizing the issuance of this Bond (the "Bond
Ordinance") to be on deposit with the Paying Agent/Registrar for such purpose as hereinafter
provided; and such check or draft shall be sent by the Paying Agent/Registrar by United States
mail, first-class postage prepaid, on each such interest payment date, to the registered owner
hereof, at its address as it appeared on the last Business Day of the month next preceding each
such date (the "Record Date") on the Registration Books kept by the Paying Agent/Registrar, as
hereinafter described. Any accrued interest due at maturity or upon the redemption of this Bond
prior to maturity as provided herein shall be paid to the registered owner upon presentation and
surrender of this Bond for redemption and payment at the Designated Trust Office of the Paying
B-1
Agent/Registrar. The Issuer has covenanted in the Bond Ordinance that on or before each
principal payment date, interest payment date, and accrued interest payment date for this Bond it
will make available to the Paying Agent/Registrar, from the "Debt Service Fund" created by the
ordinance establishing the City of Fort Worth, Texas Water and Sewer System Revenue
Financing Program (the "Master Ordinance"), the amounts required to provide for the payment,
in immediately available funds, of all principal of and interest on the Bonds, when due.
IN THE EVENT of a non-payment of interest on a scheduled payment date, and for 30
days thereafter, a new record date for such interest payment (a "Special Record Date") will be
established by the Paying Agent/Registrar, if and when funds for the payment of such interest
have been received from the Issuer. Notice of the Special Record Date and of the scheduled
payment date of the past due interest ("Special Payment Date", which shall be 15 days after the
Special Record Date) shall be sent at least five business days prior to the Special Record Date by
United States mail, first class postage prepaid, to the address of each registered owner appearing
on the registration books of the Paying Agent/Registrar at the close of business on the last
business day next preceding the date of mailing of such notice.
IF THE DATE for the payment of the principal of or interest on this Bond shall be a
Saturday, Sunday, a legal holiday, or a day on which banking institutions in the city where the
Designated Trust Office of the Paying Agent/Registrar is located are authorized by law or
executive order to close, then the date for such payment shall be the next succeeding day which
is not such a Saturday, Sunday, legal holiday, or day on which banking institutions are
authorized to close; and payment on such date shall have the same force and effect as if made on
the original date payment was due. Notwithstanding the foregoing, during any period in which
ownership of the Bonds is determined only by a book entry at a securities depository for the
Bonds, any payment to the securities depository, or its nominee or registered assigns, shall be
made in accordance with existing arrangements between the Board and the securities depository.
THIS BOND is one of a series of bonds of like tenor and effect except as to number,
principal amount, interest rate, maturity, and right of prior redemption, dated , 201_,
aggregating $ (herein sometimes called the "Bonds"), issued for the purpose of (i)
refunding the Refunded Commercial Paper Notes (as designated in accordance with the terms of
the Bond Ordinance), and (ii) paying the costs of issuance associated with the Bonds. The Bonds
shall be issued in any denomination or denominations in any integral multiple of $5,000 (an
"Authorized Denomination"). All capitalized terms not defined herein shall have the same
meaning as given said terms in the Master Ordinance or the Bond Ordinance.
THE OUTSTANDING BONDS maturing on and after 15, 202_ may be
redeemed prior to their scheduled maturities, at the option of the Issuer, in whole, or in part, on
15, 202_, or on any date thereafter, at the redemption price of the principal amount of
the Bonds called for redemption, and without premium; provided, that during any period in
which ownership of the Bonds is determined only by a book entry at a securities depository for
the Bonds, if fewer than all of the Bonds of the same maturity and bearing the same interest rate
are to be redeemed, the particular Bonds of such maturity and bearing such interest rate shall be
selected in accordance with the arrangements between the Issuer and the securities depository.
THE BONDS are also subject to mandatory redemption in part by lot pursuant to the
terms of the Ordinance, on 15 in each of the years 20_ through 20_, with respect to
Bonds maturing 15, 20_, in the following years and in the following amounts, at a
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price equal to the principal amount thereof and accrued and unpaid interest to the date of
redemption, without premium:
Year Principal Amount
* Final Maturity
To the extent, however, that Bonds subject to sinking fund redemption have been previously
purchased or called for redemption in part and otherwise than from a sinking fund redemption
payment, each annual sinking fund payment for such Bond shall be reduced by the amount
obtained by multiplying the principal amount of Bonds so purchased or redeemed by the ratio
which each remaining annual sinking fund redemption payment for such Bonds bears to the total
remaining sinking fund payments, and by rounding each such payment to the nearest $5,000
integral;provided, that during any period in which ownership of the Bonds is determined only by
a book entry at a securities depository for the Bonds, the particular Bonds to be called for
mandatory redemption shall be selected in accordance with the arrangements between the City
and the securities depository.
NOTICE OF any such redemption of Bonds shall be given in the following manner, to-
wit, a written notice of such redemption shall be given to the registered owner of each Bond or a
portion thereof being called for redemption not less than 30 days prior to the date fixed for such
redemption by depositing such notice in the United States mail, first-class postage prepaid,
addressed to each such registered owner at his address shown on the Registration Books of the
Paying Agent/Registrar. Any notice so mailed shall be conclusively presumed to have been duly
given notwithstanding whether one or more registered owners may have failed to have received
such notice. By the date fixed for any such redemption due provision shall be made by the Issuer
with the Paying Agent/Registrar for the payment of the required redemption price for this Bond
or the portion hereof which is to be so redeemed. If such notice of redemption is given, and if
due provision for such payment is made, all as provided above, this Bond or the portion hereof
which is to be so redeemed, thereby automatically shall be redeemed prior to its scheduled
maturity, and shall not be regarded as being Outstanding except for the right of the registered
owner to receive the redemption price from the Paying Agent/Registrar out of the funds provided
for such payment. The Paying Agent/Registrar shall record in the Registration Books all such
redemptions of principal amount of this Bond or any portion hereof. If a portion of any Bond
shall be redeemed a substitute Bond or Bonds having the same maturity date, bearing interest at
the same rate, in any denomination or denominations in any Authorized Denomination at the
written request of the registered owner, and in an aggregate principal amount equal to the
unredeemed portion thereof, will be issued to the registered owner upon the surrender thereof for
cancellation, at the expense of the Issuer, all as provided in the Bond Ordinance. The years of
maturity of the Bonds called for such redemption shall be selected by the Issuer. The Bonds or
portions thereof redeemed within a maturity shall be selected by lot or other customary random
method selected by the Paying Agent/Registrar in accordance with any requirements of a
securities depository, as applicable (provided that a portion of a Bond may be redeemed only in
an Authorized Denomination).
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THE FOREGOING PARAGRAPH NOTWITHSTANDING, with respect to any optional
redemption of the Bonds, unless certain prerequisites to such optional redemption required by the
Bond Ordinance have been met and money sufficient to pay the principal of, premium, if any,
and interest on the Bonds to be redeemed will have been received by the Paying Agent/Registrar
prior to giving such notice, such notice may state that the optional redemption will, at the option
of the City, be conditional upon the satisfaction of such prerequisites and receipt of such money
by the Paying Agent/Registrar on or prior to the date fixed for such redemption or upon any
prerequisite set forth in the notice of redemption. If a conditional notice of redemption is given
and such prerequisites to the redemption are not satisfied, such notice will be of no force and
effect, the City will not redeem such Bonds and the Paying Agent/Registrar will give notice in
the manner in which the notice of redemption was given, to the effect that such Bonds will not be
redeemed.
ALL BONDS OF THIS SERIES are issuable solely as fully registered bonds, without
interest coupons, in the denomination of any Authorized Denomination. As provided in the Bond
Ordinance, this Bond may, at the request of the registered owner or the assignee or assignees
hereof, be assigned, transferred, converted into and exchanged for a like aggregate amount of
fully registered Bonds, without interest coupons, payable to the appropriate registered owner,
assignee or assignees, as the case may be, having any authorized denomination or denominations
as requested in writing by the appropriate registered owner, assignee or assignees, as the case
may be, upon surrender of this Bond to the Paying Agent/Registrar for cancellation, all in
accordance with the form and procedures set forth in the Bond Ordinance. Among other
requirements for such assignment and transfer, this Bond must be presented and surrendered to
the Paying Agent/Registrar at the Designated Trust Office, together with proper instruments of
assignment, in form and with guarantee of signatures satisfactory to the Paying Agent/Registrar,
evidencing assignment of this Bond or any portion or portions hereof in any authorized
denomination to the assignee or assignees in whose name or names this Bond or any such portion
or portions hereof is or are to be registered. The form of Assignment printed or endorsed on this
Bond may be executed by the registered owner to evidence the assignment hereof, but such
method is not exclusive, and other instruments of assignment satisfactory to the Paying
Agent/Registrar may be used to evidence the assignment of this Bond or any portion or portions
hereof from time to time by the registered owner. The one requesting such conversion and
exchange shall pay the Paying Agent/Registrar's reasonable standard or customary fees and
charges for converting and exchanging any Bond or portion thereof. In any circumstance, any
taxes or governmental charges required to be paid with respect thereto shall be paid by the one
requesting such assignment, transfer, conversion or exchange, as a condition precedent to the
exercise of such privilege. The foregoing notwithstanding, in the case of the conversion and
exchange of an assigned and transferred Bond or Bonds or any portion or portions thereof, such
fees and charges of the Paying Agent/Registrar will be paid by the Issuer. The Paying
Agent/Registrar shall not be required (i) to make any such transfer, conversion or exchange
during the period beginning at the opening of business 30 days before the day of the first mailing
of a notice of redemption and ending at the close of business on the day of such mailing, or(ii) to
transfer, convert or exchange any Bonds so selected for redemption when such redemption is
scheduled to occur within 30 calendar days; provided, however, such limitation of transfer shall
not be applicable to an exchange by the registered owner of an unredeemed balance of a Bond
called for redemption in part.
IN THE EVENT any Paying Agent/Registrar for the Bonds is changed by the Issuer,
resigns, or otherwise ceases to act as such, the Issuer has covenanted in the Bond Ordinance that
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it promptly will appoint a competent and legally qualified substitute therefor, whose
qualifications are substantially similar to the previous Paying Agent/Registrar it is replacing, and
promptly will cause written notice thereof to be mailed to the registered owners of the Bonds.
WHENEVER the beneficial ownership of this Bond is determined by a book entry at a
securities depository for the Bonds, the foregoing requirements of holding, delivering or
transferring this Bond shall be modified to require the appropriate person or entity to meet the
requirements of the securities depository as to registering or transferring the book entry to
produce the same effect.
BY BECOMING the registered owner of this Bond, the registered owner thereby
acknowledges all of the terms and provisions of the Master Ordinance and the Bond Ordinance,
agrees to be bound by such terms and provisions, acknowledges that the Master Ordinance and
the Bond Ordinance are duly recorded and available for inspection in the official minutes and
records of the Issuer, and agrees that the terms and provisions of this Bond, the Master
Ordinance and the Bond Ordinance constitute a contract between each registered owner hereof
and the Issuer.
THE BONDS are special obligations of the Issuer payable solely from and equally
secured by a first lien on and pledge of the Pledged Revenues of the System. The Issuer has
reserved the right, subject to the restrictions stated, and adopted by reference, in the Master
Ordinance, to issue additional parity revenue obligations which also may be made payable from,
and secured by a first lien on and pledge of, the Pledged Revenues. For a more complete
description and identification of the revenues and funds pledged to the payment of the Bonds,
and other obligations of the Issuer secured by and payable from the same source or sources as the
Bonds, reference is hereby made to the Master Ordinance and the Bond Ordinance.
THE ISSUER has reserved the right, subject to the restrictions stated, and adopted by
reference, in the Bond Ordinance, to amend the Bond Ordinance; and under some (but not all)
circumstances amendments must be approved by the owners of a majority in Outstanding
Principal Amount of the Bonds.
THE REGISTERED OWNER HEREOF shall never have the right to demand payment of
this obligation out of any funds raised or to be raised by taxation.
IT IS HEREBY certified and covenanted that this Bond has been duly and validly
authorized, issued and delivered; and that all acts, conditions and things required or proper to be
performed, exist and be done precedent to or in the authorization, issuance and delivery of this
Bond have been performed, existed and been done in accordance with law.
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IN WITNESS WHEREOF, this Bond has been signed with the imprinted or lithographed
manual or facsimile signature of the Mayor, attested by the imprinted or lithographed facsimile
signature of the City Secretary, and approved as to form and legality by the imprinted or
lithographed facsimile signature of the City Attorney, and the official seal of the Issuer has been
duly affixed to, printed, lithographed or impressed on this Bond.
CITY OF FORT WORTH, TEXAS
By
Mayor, City of Fort Worth, Texas
ATTEST:
City Secretary,
City of Fort Worth, Texas
APPROVED AS TO FORM AND LEGALITY: (SEAL)
City Attorney, City of Fort Worth, Texas
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OFFICE OF COMPTROLLER
REGISTER NO.
STATE OF TEXAS
I hereby certify that this Bond has been examined, certified as to validity, and approved
by the Attorney General of the State of Texas and that this Bond has been registered by the
Comptroller of Public Accounts of the State of Texas.
Witness my signature and seal this
Comptroller of Public Accounts of the
State of Texas
(SEAL)
PAYING AGENT/REGISTRAR'S AUTHENTICATION CERTIFICATE
(To be executed if this Bond is not accompanied by an executed
Registration Certificate of the Comptroller of Public Accounts of the State of Texas)
It is hereby certified that this Bond has been issued under the provisions of the
proceedings adopted by the Issuer as described in the text of this Bond; and that this Bond has
been issued in exchange for or replacement of a bond, bonds, or a portion of a bond or bonds of
an issue which originally was approved by the Attorney General of the State of Texas and
registered by the Comptroller of Public Accounts of the State of Texas.
Dated BOKF,NA,
Paying Agent/Registrar
By
Authorized Signatory
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ASSIGNMENT
FOR VALUE RECEIVED, the undersigned hereby sells, assigns and transfers unto
Please insert Social Security or Taxpayer Identification Number of Transferee
(Please print or typewrite name and address, including zip code of Transferee)
the within Bond and all rights thereunder, and hereby
irrevocably constitutes and appoints
attorney to register the transfer of the within Bond on the books kept for registration thereof,
with full power of substitution in the premises.
Dated:
Signature Guaranteed:
NOTICE: Signature(s) must be guaranteed by NOTICE: The signature(s) above must
a member firm of the New York Stock correspond with the name of the Registered
Exchange or a commercial bank or trust Owner as it appears upon the front of this Bond
company. in every particular, without alteration or
enlargement or any change whatsoever.
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Exhibit C
to Thirty-Second
Supplemental Ordinance
DESCRIPTION OF ANNUAL FINANCIAL INFORMATION
The following information is referred to in Section 18 of this Thirty-Second Supplement.
Annual Financial Statements and Operating Data
The financial information and operating data with respect to the City to be provided
annually in accordance with such Section are as specified (and included in the Appendix or
under the headings of the Official Statement referred to) below:
Tables 1 through 15 contained in the Official Statement dated May 23, 2017, prepared in
connection with the issuance and sale of the Series 2017A Bonds; and
"Excerpts from the Annual Financial Report", as set forth in Appendix B to the
Official Statement
Accounting Principles
The accounting principles referred to in such Section are the accounting principles
described in the notes to the financial statements referred to above.
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THE STATE OF TEXAS
COUNTIES OF TARRANT, DENTON, WISE, PARKER AND JOHNSON
CITY OF FORT WORTH
I, Mary J. Kayser, City Secretary of the City of Fort Worth, in the State of Texas, do
hereby certify that I have compared the attached and foregoing excerpt from the minutes of the
regular, open, public meeting of the City Council of the City of Fort Worth, Texas held on April
10, 2018, and of the amended and restated ordinance authorizing the issuance of Water and
Sewer System Revenue Refunding Bonds, in one or more series, superseding Ordinance 23029-
12-2017, which was duly passed at said meeting, and that said copy is a true and correct copy of
said excerpt and the whole of said ordinance. Said meeting was open to the public, and public
notice of the time, place, and purpose of said meeting was given, all as required by Chapter 551,
Texas Government Code, as amended.
In testimony w' ereof, I have set my hand and have hereunto affixed the seal of said City
of Fort Worth, this ay of April, 2018.
City Secretar o
�OF FORT City of Fort h, Texas
�
:s
THE STATE OF TEXAS
COUNTIES OF TARRANT, DENTON, PARKER, WISE AND JOHNSON
CITY OF FORT WORTH
On the 10th day of April, 2018, the City Council of the City of Fort Worth, Texas, met in
regular, open, public meeting in the City Council Chamber in the City Hall, and roll was called
of the duly constituted members of the City Council,to-wit:
Betsy Price, Mayor
Carlos E. Flores,
Brian Byrd
Cary Moon,
Gyna Bivens, :
Jungus Jordan, Councilmembers,
Dennis Shingleton,
Kelly Allen Gray,
Ann Zadeh,
David Cooke, City Manager,
Sarah J. Fullenwider, City Attorney,
Mary J. Kayser City Secretary,
Aaron Bovos, Chief Financial Officer/Director of
Financial Management Services
thus constituting a quorum present; and after the City Council had transacted certain business,
the following business was transacted, to-wit:
Councilmember introduced an ordinance and moved its passage. The motion
was seconded by Councilmember . The ordinance was read by the City Secretary.
The motion, carrying with it the passage of the ordinance, prevailed by a vote ofq YEASm
NAYS. The ordinance as passed is as follows: